Bitcoin's role in global finance has taken an unexpected turn in 2025, as nations race to establish Bitcoin Strategic Reserves alongside their traditional gold and currency holdings.

While El Salvador and Bhutan already maintain national bitcoin reserves, major economic powers are quickly following suit. The United States has proposed an ambitious plan to accumulate 1 million bitcoin over 20 years, while Switzerland considers a groundbreaking public referendum to become the first major nation to officially hold bitcoin as a reserve asset.

The momentum is building across continents. Countries like Germany, Hong Kong, Russia, Brazil, and Poland are actively exploring bitcoin as a strategic asset. In fact, the latest Global Crypto Adoption Index shows emerging economies leading the charge, with India ranking first in overall crypto adoption.

This comprehensive guide will examines countries at the forefront of this financial revolution, analyzing their strategies, implementation plans, and potential economic impact of establishing national Bitcoin reserves.

‍

Established Bitcoin Strategic Reserve (SBR) Countries:

El Salvador: The Pioneer of National Bitcoin Reserves

In September 2021, El Salvador marked a historic milestone by becoming the first nation to adopt Bitcoin as legal tender alongside the U.S. dollar. Under President Nayib Bukele's leadership, the country has built substantial Bitcoin reserves, currently holding 6,162 BTC valued at approximately USD 594 million.

El Salvador's Bitcoin Reserve Strategy

The country's strategic approach combines daily Bitcoin purchases with innovative financial policies. El Salvador's National Bitcoin Office maintains a steady accumulation strategy, recently adding 11 BTC valued at over USD 1 million. Subsequently, the government installed more than 200 Bitcoin ATMs nationwide, establishing one of the most extensive crypto transaction networks.

Economic Impact of El Salvador's BTC Holdings

The Bitcoin reserve strategy has yielded significant returns, with unrealized profits reaching 127% on initial investments. Additionally, the country has attracted substantial foreign investment, notably a USD 1.62 billion commitment from Turkish holding company Yilport for seaport development. The strategy has also boosted tourism and sparked international interest in El Salvador's economic policies.

Future Reserve Expansion Plans

Despite recent regulatory adjustments to secure a USD 1.4 billion IMF loan, El Salvador remains committed to its Bitcoin strategy. Notably, the National Bitcoin Office plans to accelerate its Bitcoin accumulation pace. Furthermore, the country continues developing innovative projects, including:

• Volcano Energy: A Bitcoin mining initiative powered by geothermal energy
• Bitcoin City: A proposed tax-free crypto hub utilizing volcanic power

The government's recent policy modifications make Bitcoin acceptance voluntary for businesses while maintaining its status as legal tender, demonstrating El Salvador's balanced approach to cryptocurrency integration in its economic framework.

‍

Bhutan's Sovereign Bitcoin Fund

The Himalayan kingdom of Bhutan has quietly emerged as one of the largest sovereign holders of Bitcoin, with reserves exceeding USD 1 billion. Through its investment arm, Druk Holdings & Investments (DHI), Bhutan holds 7,486 BTC valued at USD 722 million.

Bhutan's Strategic BTC Investment Approach

Unlike other nations, Bhutan's Bitcoin accumulation stems primarily from its mining operations, which began in April 2019. The country leverages its abundant hydroelectric resources, with 24,000 megawatts of technically feasible hydropower potential. Specifically, the Gedu crypto-mining data center houses 30,000 mining machines, generating three to five bitcoins daily with revenue between USD 317,400 to USD 529,000.

Performance of Bhutan's Bitcoin Holdings

The kingdom's Bitcoin holdings represent approximately 34.48% of its USD 2.90 billion GDP. Consequently, these reserves have positioned Bhutan among the top five countries holding Bitcoin in national reserves. Moreover, the country maintains a diversified crypto portfolio, including USD 2.20 million in Ethereum and smaller holdings in Polygon and BNB Chain.

Future Reserve Expansion Plans

Mining

In May 2023, Bhutan established a USD 500 million partnership with Bitdeer Technologies for green crypto mining. The collaboration aims to expand mining capacity from 100 to 600 megawatts by mid-2025. Through DHI, the government has considered utilizing Bitcoin holdings to address economic challenges, such as funding public sector salary increases.

Crypto & Bitcoin Strategic Reserve

In a groundbreaking announcement, Bhutan’s Gelephu Special Administrative Region (SAR), also known as Gelephu Mindfulness City (GMC), unveiled plans to establish a strategic cryptocurrency reserve. This initiative, which includes major digital assets such as Bitcoin (BTC), Ether (ETH), and Binance Coin (BNB), aims to enhance Bhutan’s economic resilience and leverage its growing involvement in cryptocurrency mining.

‍

Upcoming Sovereign Strategic Bitcoin Reserves

United States Federal Bitcoin Reserve Initiative

On March 6, 2025, the White House issued an executive order officially creating the Strategic Bitcoin Reserve (SBR) and the United States Digital Asset Stockpile (USDAS). This marks a pivotal shift in U.S. financial policy, as Bitcoin is now formally recognized as a long-term strategic asset. Under the new directive, all executive agencies must transfer their Bitcoin holdings to the SBR within 30 days. The sale of these holdings is now strictly prohibited, affirming Bitcoin’s status alongside gold in the nation’s reserve strategy.

Purpose and Structure of the Digital Asset Stockpile

While Bitcoin will be managed under the Strategic Bitcoin Reserve, all other seized or forfeited digital assets will be consolidated into the United States Digital Asset Stockpile, overseen by the Department of the Treasury. These non-Bitcoin digital assets may still be subject to liquidation or regulatory management, depending on guidance from the Treasury Secretary. This dual structure allows for focused BTC accumulation while maintaining flexibility in managing other tokens.

Budget-Neutral Accumulation Strategy

A key mandate of the executive order is that any new Bitcoin acquisitions must be budget neutral, ensuring no additional tax burdens or debt. Potential methods include redirecting proceeds from digital asset forfeitures, issuing Bitcoin-backed Treasury instruments, or allowing tax settlements in BTC. The government may also pursue partnerships with domestic miners and exchanges to receive Bitcoin as part of national strategic initiatives.

Gold Revaluation as a Financial Lever

One of the most innovative proposals for funding Bitcoin acquisitions involves revaluing the U.S. gold reserves. Currently valued at just $42.22 per ounce, America's 8,133 metric tons of gold are worth over $760 billion at market prices. Senator Cynthia Lummis has advocated using these unrealized gains to strengthen the Treasury’s balance sheet and fund Bitcoin purchases—potentially without raising new debt or taxes.

Legislative Push for a 1 Million BTC Target

Earlier proposals laid out by Senator Cynthia Lummis call for the U.S. to accumulate up to one million BTC over five years, roughly 5% of the total supply. This would be achieved through a combination of retention of seized assets, market acquisitions, and public-private partnerships. The legislation also suggests a 20-year minimum holding period, emphasizing Bitcoin’s role as a generational hedge and strategic reserve asset.

Federal Reserve Integration Strategy

Despite the ambitious scope of the initiative, the Federal Reserve has maintained a cautious stance on directly holding Bitcoin as a reserve asset. Federal Reserve Chair Jerome Powell has previously stated the central bank has no plans to include Bitcoin in its reserves. However, at a recent FOMC meeting, Powell acknowledged that banks are "perfectly able to serve crypto customers as long as they can understand and service the risks," signaling a more open regulatory stance toward cryptocurrency.

Senator Cynthia Lummis has addressed concerns about funding the initiative, asserting that the reserve could be established without issuing new treasury debt. Instead, she suggests leveraging the reserves of the 12 Federal Reserve banks, including gold certificates dating back to the 1970s that have not been marked to fair market value. This approach could provide a substantial capital base for accumulating Bitcoin without requiring additional liquidity injections into the economy.

The proposal has drawn interest from key industry leaders who argue that U.S. strategic Bitcoin reserves could enhance financial stability and strengthen the dollar’s position in global markets. Some have even suggested that the government should aim to acquire between 20-25% of Bitcoin’s total supply to secure dominance over the emerging digital reserve currency network. The administration continues to frame this initiative as a means of reinforcing U.S. dollar sovereignty while supporting the development of regulated, dollar-backed stablecoins on a global scale.

US State Level Bitcoin Strategic Status

🟡 In Progress - Leading States

Arizona

Arizona is on the brink of becoming the first U.S. state to establish a formal Bitcoin reserve. On April 28, 2025, state lawmakers passed Senate Bills 1025 and 1373, authorizing the treasurer to invest up to 10% of Arizona’s $31.5 billion in state-managed assets into digital assets like Bitcoin and select high-liquidity NFTs. The legislation also creates a Digital Assets Strategic Reserve Fund, which will hold not only purchased assets but also seized crypto assets and future appropriations. The bills include mandates for on-chain auditability and standardized risk controls to ensure secure management.

With these measures, Arizona aims to diversify its public asset portfolio, attract blockchain innovation, and set a national precedent for integrating Bitcoin into state-level financial frameworks. The bills now await final confirmation from Governor Katie Hobbs (Democrat), whose signature would trigger immediate implementation. A veto, however, could delay the process and impact related budgetary plans. If signed into law, Arizona would officially become the first U.S. state to allocate treasury and pension funds into Bitcoin, establishing a crypto-forward leadership position among states exploring sovereign digital reserves.

‍

Texas

‍Texas has taken major steps toward establishing a state-level Bitcoin reserve. Lieutenant Governor Dan Patrick declared it a legislative priority for 2025, with Senator Charles Schwertner introducing SB 21 to create the reserve and Representative Giovanni Capriglione proposing HB 1598 to allow state payments in Bitcoin that could help fund it. Both bills are advancing, underscoring Texas’ ambition to lead in the digital asset economy.

New Hampshire

‍New Hampshire’s House passed HB 302 in April 2025, authorizing the state treasurer to invest in digital assets like Bitcoin. The bill is now under Senate review and reflects the state’s libertarian ethos and support for financial sovereignty, aligning with broader efforts to modernize state-level financial strategy.

Oklahoma

‍Oklahoma is exploring the creation of a Bitcoin reserve through SB 1430, introduced by Senator Shane Jett. The bill, which passed committee and is under Senate consideration, would direct a study on the feasibility of holding Bitcoin and other digital assets, signaling early but serious interest in adopting blockchain-based financial tools.

‍

Czech Republic's €7B Bitcoin Investment Plan

The Czech National Bank (CNB) made headlines earlier this year with Governor Aleš Michl’s proposal to allocate €7 billion—or 5% of its €140 billion reserves—to Bitcoin, positioning it as a long-term diversification strategy. The plan gained attention globally for its boldness, especially given that the CNB already holds 22% of its reserves in equities, signaling a progressive approach to reserve management. Michl’s background in investment banking and fund management influenced this unconventional move, diverging from traditional central bank conservatism.

Bitcoin’s Role Under Review: Legal and Volatility Concerns

However, the plan’s future has grown uncertain. On March 18, CNB board member Jan Kubicek publicly expressed skepticism in an interview with Reuters. He cited legal uncertainties, accounting complexities, and extreme price volatility as significant hurdles. “We cannot be certain that Bitcoin’s volatility in the coming years will mirror past patterns,” Kubicek warned, casting doubt on its suitability as a central bank reserve asset. He emphasized that the CNB is exploring various asset classes—not just Bitcoin—as part of its diversification study.

Central Bank Divided on Strategy

The growing internal debate underscores a rift within the CNB leadership. While Michl champions Bitcoin as a strategic hedge, others like Kubicek prefer safer, more conventional alternatives such as international corporate bonds, property investment funds, and technology equity indices. Kubicek stressed that investing in Bitcoin would also require reworking internal audit and accounting protocols, which could delay or complicate implementation.

Study Ongoing, With Results Expected by October

The CNB has not shelved the proposal entirely. According to Kubicek, the bank’s study on expanding asset classes remains active and is expected to conclude by October 2025. The outcome of this study will likely determine whether Bitcoin earns a place in the reserve strategy or remains a speculative outlier. The CNB board is expected to revisit the topic formally in upcoming meetings, although no binding vote has been scheduled.

Broader European Skepticism

The CNB’s Bitcoin ambitions also face external pressure, particularly from European monetary authorities. European Central Bank (ECB) President Christine Lagarde criticized the idea, reaffirming that central bank reserves must remain “liquid, secure, and safe.” Her remarks underscore broader resistance within the Eurozone to recognizing Bitcoin as a reserve-worthy asset, despite growing interest globally.

‍

Brazil's National Treasury Bitcoin Initiative

Federal Deputy Eros Biondini introduced groundbreaking legislation to establish Brazil's Sovereign Strategic Bitcoin Reserve (RESBit), marking a significant advancement in national cryptocurrency adoption.

Brazilian BTC Reserve Legislation

Initially proposed in November 2025, the RESBit bill aims to diversify Brazil's Treasury assets through strategic Bitcoin acquisition. The legislation calls for the central bank to gradually accumulate Bitcoin until it comprises 5% of national reserves, equivalent to approximately USD 18.60 billion. Primarily designed to protect international reserves against exchange fluctuations, the initiative positions Brazil among forward-thinking nations in digital asset management.

Proposed Implementation Framework

The Central Bank, in partnership with the Ministry of Finance, will oversee RESBit through these key mechanisms:

• Cold wallet storage for enhanced security
• Semiannual performance reports to Congress
• Advanced monitoring systems utilizing AI and blockchain
• Public transaction reporting requirements

Economic Benefits

The initiative promises substantial economic advantages beyond reserve diversification. RESBit aims to foster blockchain research and development, ultimately supporting Brazil's central bank digital currency, Drex. Currently ranking 10th in global crypto adoption, Brazil demonstrates strong potential for successful implementation. The program includes comprehensive educational initiatives, from public agent training to establishing specialized blockchain programs at educational institutions.

‍

Russia's Sovereign Crypto Holdings Strategy

State Duma deputy Anton Tkachev has proposed creating a strategic Bitcoin reserve to strengthen Russia's financial stability amid international sanctions. The proposal, sent to Finance Minister Anton Siluanov, aimed to establish Bitcoin holdings alongside traditional currency reserves.

Russian BTC Reserve Development

President Vladimir Putin significantly boosted the initiative by praising Bitcoin as an alternative to foreign currency reserves. Currently, the Central Bank of Russia prepares to launch cross-border cryptocurrency payment trials. Finance Minister Siluanov confirmed that Russian companies have started using Bitcoin in international trade, with transactions expected to expand throughout 2025.

Regulatory Framework

The Russian government has implemented these key changes to support Bitcoin adoption:

• Cryptocurrency transactions exempt from VAT
• 15% tax rate on crypto profits
• Legalization of Bitcoin mining operations
• Authorization for cross-border crypto payments

International Impact

The strategic reserve initiative primarily aims to reduce dependence on traditional international payment systems. Russian companies have begun utilizing Bitcoin for foreign trade following legislative changes. Presently, Russia ranks among global leaders in Bitcoin mining, ultimately positioning itself to leverage this advantage for international trade settlement.

The Central Bank of Russia maintains strict oversight of cryptocurrency transactions within the country. Through this framework, Russia aims to create an alternative financial system less dependent on US dollar-denominated trade.

‍

Brought to You by Flush, the Ultimate Bitcoin Casino Destination for Gaming Enthusiasts

At Flush, a leading Bitcoin casino, you can enjoy a seamless, secure gaming experience with real money online slots, live casino games like poker, blackjack, baccarat, roulette, and much more. As a premier crypto casino, Flush features top titles from providers like Nolimit City, Hacksaw Gaming, Pragmatic Play and many more, ensuring an exciting lineup of games for every player.

New players can claim a massive 150% deposit bonus to boost their bankroll and dive into the action. Plus, every slot spin earns you points for our Weekly Races, where $5,000 in prizes is up for grabs.

Join Flush today and experience the thrill of real money gaming with cryptocurrency—fast, secure, and unforgettable.

‍