Switzerland Advances Bitcoin Proposal for Central Bank Reserves

Switzerland’s Federal Chancellery has approved the submission of the “Bitcoin Initiative,” a proposal seeking to amend the Swiss Federal Constitution to require the Swiss National Bank (SNB) to hold Bitcoin (BTC) as part of its reserves.

The initiative, titled “For a Financially Strong, Sovereign, and Responsible Switzerland,” aims to amend Article 99 of the constitution. It proposes that the central bank allocate part of its monetary reserves to Bitcoin alongside gold. Supporters argue that Bitcoin’s decentralized nature and deflationary characteristics could strengthen Switzerland’s financial independence and resilience.

Path to a Referendum

The Federal Chancellery confirmed the initiative meets legal requirements, including valid signatures and adherence to procedural rules. Federal Chancellor Viktor Rossi stated:
“The initiative has been verified as adhering to the constitutional and legal framework for a federal popular initiative.”

For the measure to advance to a nationwide referendum, it must now undergo a review by the Federal Assembly. Additionally, proponents need to collect 100,000 valid signatures by June 30, 2026, to secure a public vote.

Advocates and Goals

The initiative, filed on Dec. 5, 2024, has been spearheaded by notable Bitcoin advocates, including Giw Zanganeh, vice president of energy and mining at Tether, and Yves Bennaïm, founder of Swiss Bitcoin think tank 2B4CH. Their mission centers on enhancing Switzerland’s financial sovereignty by incorporating Bitcoin into its central reserves.

“We were waiting for the right timing. Now, everything is falling into place,” Bennaïm told Cointelegraph.

The campaign resonates with Switzerland’s financial tradition and its commitment to innovation. Lugano, a city in the southern region, already boasts significant Bitcoin adoption, with over 260 merchants accepting BTC, according to BTCMaps.

Support and Criticism

Proponents see the initiative as a bold step toward modernizing monetary policy and diversifying reserves. Critics, however, raise concerns about Bitcoin’s volatility and the energy-intensive processes used to secure the network. SNB Chair Martin Schlegel recently voiced skepticism, citing potential risks to the stability of Switzerland’s financial system.

Global Context

If adopted, the amendment would make Switzerland one of the first countries to constitutionally incorporate cryptocurrency into its monetary policy. Globally, the United States and other nations like Brazil and Poland are also exploring similar measures, though none have yet reached this stage of implementation.

A public referendum, a hallmark of Switzerland’s direct democracy, would ensure nationwide debate on the proposal. If passed, the initiative could set a precedent for how central banks worldwide integrate digital assets into their reserve strategies.