European international locations are shortly adopting Bitcoin (BTC) as a strategic reserve asset. After President Donald Trump led america in implementing a strategic Bitcoin reserve, international locations within the European area are shifting in the identical course as a hedge towards inflation and macroeconomic uncertainty.
Luxembourg and the Czech Republic undertake Bitcoin towards all odds
The Luxembourg sovereign wealth fund allocates 1% to BTC
On November 13, Luxembourg Finance Minister Gilles Roth declared on the Bitcoin Amsterdam 2025 convention in Amsterdam, Netherlands, that the nation has adopted Bitcoin. In keeping with Roth, the nation’s sovereign wealth fund has allotted 1% of its property, which quantities to about $7 million, to Bitcoin.
He noted that the nation is eager to be one of many first adopters of Bitcoin, whereas different international locations are attempting to implement the same plan.
The Czech Republic goes towards EU recommendation on BTC
The Czech Nationwide Financial institution (CNB) has introduced the creation of a check portfolio of digital property, primarily consisting of Bitcoin. In keeping with Aleš Michl, the governor of CNB, the plan to undertake Bitcoin has been within the works since early 2025.
“Within the testing portfolio, CNB will check your entire chain of processes associated to the acquisition, possession and administration of digital property – from the technical administration of keys and multi-level approval processes, by way of disaster eventualities and safety mechanisms, to verifying AML compliance,” CNB stated. noted.
Market affect
The growing adoption of Bitcoin by European international locations is a big vote of confidence. The flagship coin has already benefited from mainstream adoption by institutional traders by way of exchange-traded funds (ETFs), Digital Property Treasuries (DATs), household places of work and particular person merchants.
Supply: CryptoQuant
Because of the growing adoption of Bitcoin worldwide, it has benefited from the imbalance between provide and demand. In keeping with market knowledge from CryptoQuant, Bitcoin provide on centralized exchanges has fallen to a multi-year low.
Now that Bitcoin has a set provide of 21 million, and the bulk are already within the palms of long-term holders, its adoption by nation states will additional exaggerate the demand curve.
