A coalition of Crypto lawyers in Switzerland is campaigning for the Swiss National Bank (SNB) to diversify its foreign reserves by getting Bitcoin (BTC), referring to concern about exaggerated dependence on traditional currency and political exposure.
Reuters reported that the campaign was launched in December as a Constitutional Referendum initiative and wants to legally demand the SNB that Bitcoin keeps in addition to gold as part of its foreign assets portfolio.
Proponents claim that Switzerland must adjust its reserve strategy to reflect a global transition to multipolarity and reduced dependence on the US dollar and euro.
Luzius Meisser, a board member of Bitcoin Suisse and a central figure in the initiative, said that Bitcoin’s monetary policy offers an inflation-resistant alternative to Fiat currencies.
According to Meisser:
“Politicians ultimately give in to the temptation of printing money to finance their plans, but Bitcoin is a currency that cannot be blown up due to shortage spending.”
Meisser will speak this week at the annual general meeting of the SNB in Bern to present the initiative’s reasoning directly to stakeholders.
The referendum process requires that 100,000 verified signatures continue to a national vote. It would be the first initiative worldwide to oblige Bitcoin Holdings by a central bank by constitutional reform.
The move comes in the midst of sovereign wealth Collect Bitcoin in AprilSuch as John d’Agostino, the head of the institutional sale of Coinbase, reported.
Switzerland’s crypto adoption
Proponents of the referendum claim that the allocation of a modest part of the nearly $ 1 trillion Swiss Frank -Reserve Folio of the SNB in Bitcoin, in particular 1% to 2%, would protect against monetary debasia without exposing the bank to too much volatility.
Meisser and others claim that SNB’s current companies in foreign currency, consisting of 75% of US dollars and euros, exposes Switzerland to foreign political dynamics and devaluation risks that are driven by expansive tax policy abroad.
They also claim that such a movement would match the wider positioning of Switzerland as a Hub for Blockchain technology.
Switzerland organizes “Crypto Valley” in Zug, a zone dedicated to Crypto Industries. Moreover, the country was in 55th place from the 151 countries in the Crypto index of Chainalysis’ latest ‘geography of the Crypto report’.
Yves Bennim, another in favor of the initiative and a member of the Bitcoin Initiative Group, resisted worries about security and liquidity.
He described Bitcoin’s underlying technology as one of the most safe and resilient digital systems that have ever been made, supported by a market capitalization of $ 2 trillion and daily trade volumes in the billions.
Bennim added:
“The global Bitcoin market is the most liquid and determined under digital assets. We do not say that we are all working on Bitcoin, but a small allocation can cover itself against monetary and geopolitical risks.”
SNB Voices Note in the midst of campaign Momentum
Despite the momentum of the campaign, the Swiss National Bank has remained skeptical towards Crypto.
In March, SNB chairman Martin Schlegel repeated the reservations of the institution, referring to the high volatility of Bitcoin, limited liquidity in crisis scenarios and technical vulnerabilities as factors currently excluding the inclusion in official reserves.
He explained:
“Cryptocurrencies are essentially software. And we all know that software can often have bugs and other vulnerabilities.”
Schlegel kept his reservations, even after the federal chancellery of Switzerland approved Submitting a constitutional bill in December that the SNB must keep part of its reserves in Bitcoin.
