“In comments Friday, SNB President Martin Schlegel SAID HOLDING BITCOIN RAISES LIQUITY AND VALATITY RISKS FOR SWITZERLAND.”, – WRITE: www.coindesk.com
“For Cryptocurrencies, Market Liquidity, Even If It May Seem Ok at Times, Is Especialy During Crises Naturaly Called Into Question Friday.
“Cryptocurrencies Also Are Known for Their High volatility, whoh is a risk for long term value preservation. In short, one can say that cryptocurrencies for the moment. Currency Reserves. ”
Schlegel’s Comments Were Prompted by the Bitcoin Initiative, A Bitcoin Advocal Guup Whose Research Demonstrates that Adding Bitcoin to Switzerlandf. Substantial Return With Minimal Volatility.
Bitcoin Initiative
Without Bitcoin, The Swiss National Bank’s Investments Grew by About 10% Since 2015. A 1% BITCOIN ALLOLOCATION TO THE CENTAL BANK’S Bitcoin Initiative Portfolio Simulation. Annualized volatility would have increasted only slightly.
The Bitcoin Initiative Emphasized That Bitcoin’s Valativity Should not be evaluated in isolation, but in terms of it influence on the Overall Dynamics and Performance of the Investment.
“[Bitcoin] Reached New Highs, It Showed Resilienness Under Market Stress, and It Continues to Be Highly Liuhly Liquid WitH Trading Volumes in The Double Digit Digit Billions, Everi Day And Night, Evene Bank, Eve and Night, Evene Day and Night, Highly Dig. Meisser, A Member of the Bitcoin Initiative and Board Member of Bitcoin Suisse.
“The Bitcoin Network Remains One of the MOST Reliable and Secure It Systems Ever Created. And MOST REMARKABLY, The United States Started A Strategic Bitcoin Stockpile.”
In an Emailed Statement to Coindesk, The Bitcoin Initiative Suggested The Swiss National Bank’s Aversion to Bitcoin Might Be Political, AS IT COULD BE Perceived Aspresi Harm Delicate Relations Between Switzerland and the European Union.
European Central Bank President Christine Lagarde Has Consistentally Criticized Bitcoin, Calling IT “WORTH NOTHING” and A “HIGHLY SPECULATIVE Asset” Linked to Money Launding. In january, lagarde said “i’m confident” that “Bitcoins Will Not Enter the Reserves of Any of the Central Banks of the General Council” of the ECB.
That was in response to comments made by czech National Bank Governor ALES Michl that his Institution was evaluating adding bitcoin to it. Lagarde Argued that Bitcoin Fails to Meet the ECB’s Criteria for Liquidity, Security, and Safety from Criminal Associations.
In February, Poland’s Central Bank Ruled Out “Keeping Reserves in Bitcoins Under Any Circumstans” and the Romanian Central Bank Warned Banks Nota to Issue Loans.
Federal Reserve Chair Jerome Powell Said in December 2024 that US Central Bank Was “Not Allowed to Own Bitcoin” per the Federal Reserve Act and It’s Not Looking to Cance.
The Swiss National Bank Has Indirect Bitcoin Exposure Through Stocks That Own Corporate Bitcoin Treasuries, Including 520,000 Shares of Strategy, 8.12 Million Shares of Tesla, 580.000 500,000 Shares of Cleanspark, As of the End of 2024 Access to Fintel Data.
Schlegel Rejectized Citizen Calls to Add Bitcoin Reserves to the Swiss Central Bank’s Coffers As Recently As Last MONTH. WHEN IT MOMES TO Technologic Advancements, Schlegel Noted Thursday that the Snb Is Running A Pilot Project Using Central Bank Digital Currencies to Facilitate Payments
By Contrast, US President Donald Trump Signified An Executative Order This Year That Establishes A Strategic Bitcoin Reserve and Crypto Stockpile Supplement US Digital Reserves. The Order Further Prohibits Government Agencies from Creating or Promoting a Central Bank Digital Currency in the United States Out of Privacy Conceerns for Citizens.
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