Bitcoin News Today: Philippines Proposes 10000 Bitcoin Purchase With 20-Year Lockup

Generated by AI AgentCoin World
Monday, Aug 25, 2025 12:06 am ET1min read
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Aime RobotAime Summary

- The Philippines proposes a sovereign Bitcoin reserve via House Bill 421, allocating 10,000 BTC to its central bank over five years with a 20-year lockup for debt repayment.

- The plan positions the country as Asia’s first to adopt structured crypto reserves, featuring annual 2,000 BTC purchases and quarterly audits for transparency.

- Experts debate the initiative’s merits, with some calling it a strategic long-term asset and others cautioning against overreliance on Bitcoin’s volatile growth potential.

- While the bill remains unpassed, it reflects global trends in recognizing Bitcoin’s role in treasury management amid inflationary pressures and economic uncertainty.

The Philippines is moving forward with a pioneering initiative to establish a sovereign

Bitcoin
reserve under House Bill 421, introduced by Congressman Miguel Luis Villafuerte. The proposal, formally titled the Strategic Bitcoin Reserve Act, aims to allocate 10,000 BTC to the country’s central bank over a five-year period, with a mandatory 20-year holding period before the assets can be used to pay off government debt. Under the bill, the Bangko Sentral ng Pilipinas would purchase 2,000 BTC annually, with strict trust and reporting requirements to ensure accountability [1].

Villafuerte emphasized the growing influence of Bitcoin in global finance and argued that legislative action is essential for the Philippines to maintain economic competitiveness. The bill outlines that during the 20-year lockup period, the Bitcoin reserve cannot be sold or exchanged for any purpose other than debt repayment. After the holding period, the central bank governor is restricted to selling no more than 10% of the assets every two years [1].

The initiative places the Philippines among the first countries in Asia to consider a formal sovereign Bitcoin reserve, joining a small group including El Salvador and Bhutan. It also differentiates itself from traditional methods of building crypto reserves, which often rely on law enforcement confiscations or one-off purchases. Instead, the proposed plan features a structured, transparent accumulation strategy, including quarterly audits to verify the existence and security of the holdings [2].

Miguel Antonio Cuneta, co-founder of Satoshi Citadel Industries, described the proposal as an “asymmetric bet” with potential for long-term value creation. He suggested that the Philippines could learn from other countries’ models and cautioned that the reserve should represent a small, diversified portion of public assets. Cuneta also noted that Bitcoin’s historical compound annual growth makes it an attractive addition to a national treasury [1].

The bill has sparked discussion among financial experts, though its passage remains uncertain. Luis Buenaventura, head of crypto at GCash, acknowledged the proposal might not be enacted but argued that it reflects a broader global trend of recognizing Bitcoin’s role in treasury management. He urged local businesses to explore integrating Bitcoin into their financial strategies as a hedge against inflation and economic volatility [1].

The proposal highlights the growing acceptance of digital assets in national economic planning. Unlike speculative or short-term uses of crypto, the structured accumulation and long-term lockup period emphasize Bitcoin’s potential as a strategic asset for financial resilience and stability [1].

Source:

[1] https://finance.yahoo.com/news/philippines-consider-strategic-bitcoin-20-014115647.html

[2] https://www.ainvest.com/news/philippines-strategic-bitcoin-reserve-20-year-store-play-sovereign-resilience-2508/

[3] https://www.ainvest.com/news/bitcoin-news-today-philippines-proposes-10000-bitcoin-purchase-20-year-lockup-2508/