A proposed reform to the country's constitution proposes that Bitcoin, the main cryptocurrency on the global market, be recognized as a treasury reserve asset of the National Bank.
Swiss newspaper Neue Zürcher Zeitung, known as NZZ, reported on a proposed amendment put forward by 2B4CH leader Yves Bennaïm to add the term “Bitcoin” to a constitutional article that discusses foreign exchange reserves held by the Swiss National Bank (SNB).
Specifically, Bennaïm's proposal suggests that the bank recognize and integrate Bitcoin among its reserve assets, alongside gold and other financial assets.
Article 99 of the Swiss Constitution states that: “The Swiss National Bank accumulates sufficient foreign exchange reserves from its revenues; some of these reserves are held in gold.” However, according to the proposal submitted, in the future this article should read: Reserves are kept “in gold and Bitcoin”.
Bitcoin will ensure Switzerland's future growth and development
Switzerland has emerged as one of the most Bitcoin and cryptocurrency-friendly jurisdictions in recent years. Just last week, Lugano, one of the country’s largest cities, elected a pro-Bitcoin candidate as its new mayor.
Michele Foletti was elected to govern the city, which is currently considered a model of Bitcoin City, since in it, Bitcoin is recognized as legal tender and citizens can use it to pay their local taxes, among other things.
Now, through the aforementioned constitutional proposal, 2B4CH and its leader seek guarantee the sovereignty of the country, as well as protecting political neutrality, through Bitcoin.
Bennaim said to the local media that the organization is completing all the necessary preparations to submit the proposal to the State Chancellery and request its debate and approval.
Bitcoin is more solid than any other asset
The proposal put forward by Bennaïm and the 2B4CH organisation, which specialises in cryptocurrencies and blockchain technology, also has the support of Luzius Meisser, president of the Bitcoin Suisse asset manager.
According to the outlet, Meisser believes that the Swiss National Bank should include Bitcoin among its reserve assets, mainly because the cryptocurrency is a more solid and robust long-term store of value asset than any other of existing assets, which can easily be devalued by international political decisions.
“In the long term, this digital asset (Bitcoin) is more solid than investments in euros and dollars, whose economies tend to reduce their mountains of debt through inflation and therefore also devalue the SNB's investments,” Meisser said.
For Meisser, the adoption of Bitcoin as a reserve asset by the country’s National Bank would also mark a turning point in its sovereignty and independence from the European Central Bank. In 2022, Meisser had proposed that the SNB invest 1.000 billion Swiss francs per month in Bitcoin. He said that if this had been done, Switzerland would be “30.000 billion Swiss francs richer” today. This figure is equivalent to around $32.800 billion USD.
ETFs brought regulatory clarity
On the other hand, Meisser highlighted the regulatory clarity brought to Bitcoin by the approval of spot ETFs in the United States and Hong Kong, which was absent until a few months ago.
Meisser, Bennaïm and other experts believe that ETFs have made Bitcoin an integral part of the traditional financial system and that this could encourage the SNB to invest in the cryptocurrency.
In Switzerland, Postfinance, one of the country's largest financial institutions, as well as some regional banks, can now access Bitcoin, which could also motivate the National Bank to adopt the cryptocurrency, so as not to be left behind in financial innovation.
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Main image courtesy of the Swiss National Bank (SNB)
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