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Taiwan considers adding Bitcoin to its $605B reserves to reduce heavy U.S. dollar risk amid geopolitical threats.

Market News
06 Apr 2026
Crypto Economy
View Source
Neutral
pluang ai news

Taiwan holds $605 billion in foreign reserves, with over 80% in U.S. dollar assets, exposing it to significant currency risk. A recent report suggests Taiwan allocate 5% of its reserves to Bitcoin as a hedge against dollar depreciation and geopolitical risks like a potential Chinese naval blockade. Despite previous rejection by Taiwan's Central Bank citing volatility and liquidity concerns, experts argue Bitcoin's unique features—such as global accessibility without intermediaries—make it a viable reserve asset. Taiwan is currently studying and piloting digital asset custody, indicating possible future adoption of Bitcoin in its sovereign reserves to diversify and protect wealth.

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