Russia Considers Forming Bitcoin Reserve to Strengthen Financial Resilience

As part of efforts to strengthen the country's financial resilience, Russia is currently considering forming a Bitcoin Reserve.

Russia is currently considering forming a Bitcoin Reserve in an effort to bolster the country’s financial resilience against the combined impact of international sanctions.

The idea was put forth by Anton Tkachev, a member of the Russian State Duma, in a letter to Finance Minister Anton Siluanov.

In his letter, Tkachev highlighted the increasing vulnerability of traditional currency reserves, such as US dollars, euros, and yuan, to inflation, volatility, and pressure from economic sanctions.

Bitcoin, being a decentralized digital asset, offers an advantage by not being dependent on any country’s financial system. This, according to Tkachev, makes Bitcoin a suitable alternative to avoid dependence on traditional reserves that are subject to geopolitical uncertainty.

“The formation of the Bitcoin Reserve will strengthen the stability of the Russian economy, especially amid growing tensions with Western countries,” Tkachev wrote.

He went on to propose that the Russian Ministry of Finance conduct a comprehensive study on the feasibility of forming Bitcoin reserves.

In his letter, Tkachev also pointed out the significant profit potential of Bitcoin, noting that the value of the digital currency reached USD100,000 (IDR1.6 billion) in December 2024. This, according to him, presents an opportunity to not only maintain economic stability but also generate substantial investment returns.

Meanwhile, the Central Bank of Russia is reportedly exploring the potential use of cryptocurrencies in transactions between countries.

This is becoming increasingly relevant as traditional financial systems are being rendered largely inaccessible to countries under international sanctions, as highlighted by Coincu.

It is worth noting that the idea of using Bitcoin as a strategic asset reserve is not entirely novel. On the global stage, there has been growing interest in the matter.

In the United States, for instance, Senator Cynthia Lummis has proposed the establishment of a national Bitcoin Reserve through the “Bitcoin Act of 2024.” Notably, former President Donald Trump has also expressed support for the use of Bitcoin to bolster the country’s economic resilience.