Bitcoin News Today: Philippines Proposes 10,000 BTC Strategic Reserve Over 5 Years

The Philippine Congress has introduced the “Strategic Bitcoin Reserve Act,” a legislative proposal aimed at creating the country’s first sovereign Bitcoin reserve by directing the Bangko Sentral ng Pilipinas (BSP) to acquire 10,000 Bitcoin over the next five years. Congressman Migz Villafuerte, the bill’s sponsor, described the initiative as a bold step in the nation’s financial planning, positioning Bitcoin as a “modern strategic asset” and likening it to “digital gold.” The proposed reserve would be held in cold storage for at least 20 years, with 2,000 BTC acquired annually, and would require the central bank to publish quarterly proof-of-reserves reports to maintain transparency and accountability [1].

The $1.1 billion initiative, if enacted, would diversify the nation’s balance sheet, reduce reliance on foreign currencies, and serve as a hedge against global economic uncertainties. Villafuerte emphasized the bill’s alignment with similar strategies in countries like El Salvador, which has integrated Bitcoin into its financial framework [2]. The reserve is intended for national security purposes and is not to be used as a tradable asset, with strict oversight from the Monetary Board of the BSP.

The bill also outlines a long-term trust structure to safeguard the Bitcoin holdings, ensuring they remain non-circulating and not subject to market speculation. Quarterly disclosures will include transaction history and custody arrangements, reinforcing institutional integrity and public confidence. The central bank would be responsible for managing the acquisition and storage process, but the bill does not specify how it will fund the purchases, leaving room for future debate [3].

The initiative has already attracted attention from the crypto community, with concerns raised about the central bank’s reliance on third-party custodians and potential risks related to money laundering and sanctions compliance. One Reddit user highlighted these issues, noting the liability challenges involved in handling a volatile and unregulated asset with public funds [4]. Despite these concerns, the proposal reflects a growing interest among governments in leveraging digital assets for economic resilience and long-term planning.

The bill is still in its early legislative stages and requires further debate and regulatory coordination before it can be implemented. If passed, the Philippines would become one of the first Asian countries to mandate the accumulation of Bitcoin as part of its sovereign reserves. The move signals a broader recognition of digital assets in national economic strategies, particularly in emerging markets seeking to diversify their financial portfolios [5].

At this point, there have been no significant international reactions or official comments from global financial institutions. However, the initiative has sparked discussions on how governments might regulate and integrate cryptocurrencies into national fiscal policies. Historical examples from countries like Bhutan and El Salvador suggest that such moves can serve as a model for future digital asset adoption in other jurisdictions [6].

The proposed reserve also raises questions about the long-term stability of Bitcoin as a national asset, especially given its price volatility and regulatory uncertainties. While the government has not yet provided specific funding mechanisms or risk-mitigation strategies, the bill’s emphasis on cold storage and institutional oversight aims to address some of these concerns. The central bank’s role in maintaining the reserve and ensuring compliance with national and international financial regulations will be critical to the proposal’s success [7].

Source:

[1] Cointelegraph https://cointelegraph.com/news/philippine-bill-strategic-bitcoin-reserve-10000-btc

[2] Yahoo Finance https://finance.yahoo.com/news/philippines-proposes-massive-10-000-172644985.html

[3] Bitcoin.com News https://news.bitcoin.com/new-bitcoin-bill-in-philippines-proposes-buying-10k-btc-for-national-reserves/

[4] Reddit · r/Buttcoin https://www.reddit.com/r/Buttcoin/comments/1mxyhbv/philippines_proposes_massive_10000_btc_strategic/

[5] Tekedia https://www.tekedia.com/philippine-strategic-bitcoin-reserve-act-could-position-the-country-as-a-pioneer-in-asias-crypto-landscape/?srsltid=AfmBOopoytwviisDMvwEXvWEk5jRSwXWmmyKH8CodWg_wq-tL3kWX5eS

[6] CryptoDnes.bg https://cryptodnes.bg/en/philippine-lawmaker-proposes-central-bank-bitcoin-reserve/

[7] AInvest https://www.ainvest.com/news/bitcoin-news-today-philippines-bets-bitcoin-digital-gold-long-term-stability-2508/