The Swiss National Bank (SNB), Switzerland’s central bank, is under mounting pressure to add Bitcoin to its reserves. A newly launched referendum campaign, as of December, aims to amend the Swiss constitution to make it a requirement for SNB to hold Bitcoin. This initiative gathers steam as U.S. tariffs have created global economic uncertainty.
The campaign illustrates an opportunity to reimagine and diversify Switzerland’s financial approach. Supporters argue that it would fortify the SNB’s already strong position. This act would begin to reverse the diminishing leading role of the dollar and euro in our new multipolar reality.
"Holding bitcoin makes more sense as the world shifts towards a multipolar order, where the dollar and the euro are weakening." - Luzius Meisser
Indeed, the SNB has already shown a forward-looking attitude on digital assets. The bank had just recently wrapped up a successful pilot project in May that used a wholesale central bank digital currency (CBDC). This project enabled the clearing and settlement of four such tokenized bond issuances as well as a secondary market transaction.
The SNB is apparently eager to grow its digital currency project. This new openness introduces unprecedented speculation that the Federal might actually be prepared to add Bitcoin to its own reserves. The central bank explored the possibility of a central bank digital currency, signaling a willingness to adapt to the changing financial landscape.
Not everyone is completely convinced. Image via Unsplash Martin Schlegel, deputy-head of the SNB, has spoken out on the risks of cryptocurrency before.
"Cryptocurrencies are essentially software. And we all know that software can often have bugs and other vulnerabilities." - Martin Schlegel
Switzerland has been at the forefront of experimenting with digital asset projects. The state’s booming referendum campaign is an important testament to the country’s progressive approach to transportation finance. The SNB currently holds diverse reserves, which could one day include bitcoin if the referendum succeeds.
