The Philippines has taken important steps regarding the cryptocurrency market. Rep. Migz Villafuerte introduced Bill 421 to the House of Representatives.
Strategic Bitcoin Reservation Proposal from the Philippines
The bill envisages the creation of a “Philippine Strategic Bitcoin Reserve” to strengthen the country's national security and debt stability.
Under the proposal, the country's central bank, Banco Central Ng Pilipinas (BSP), will purchase 2,000 Bitcoins per year for five years, with a total reserve of 10,000 btc. These assets are expected to be held for 20 years. It aims to contribute to national security and offset the country's external debt burden.
Villafuerte highlights the growing global acceptance of Bitcoin, saying that digital assets provide a strong alternative to long-term strategic reserves. He noted that developing countries in particular can benefit from crypto assets to reduce their reliance on traditional reserve currencies such as the US dollar.
The Philippines' move is considered one of Asia's most ambitious attempts to establish a state-backed Bitcoin Reserve. If passed, the Philippines will join the class of countries that employ Bitcoin not only as an investment vehicle, but also as a strategic asset for national security and financial stability.
The development is said to be a significant precedent for the global crypto market and government approach to Bitcoin.
*This is not investment advice.
