Taiwan is evaluating a proposal to convert seized Bitcoin into a national reserve asset as economic leaders push for reduced reliance on the US dollar.
Quick Summary – TLDR:
- Taiwan is reviewing the idea of using confiscated Bitcoin as part of its national reserves.
- Officials aim to diversify from US dollar dependency and strengthen economic security.
- A pilot program may begin using Bitcoin seized during anti-money laundering operations.
- Global shifts in reserve strategies are influencing Taiwan’s forward-looking approach.
What Happened?
Taiwan’s central government, led by the Ministry of Finance and other top agencies, has initiated discussions on turning seized Bitcoin assets into a national strategic reserve. The review comes amid increasing volatility in global markets and growing concern over Taiwan’s heavy exposure to US Treasuries and dollar-backed assets.
🇹🇼 TAIWAN STARTING ITS OWN BITCOIN NATIONAL RESERVE
— CryptosRus (@CryptosR_Us) November 13, 2025
Taiwan’s Central Bank and Executive Yuan have launched a formal study on adding Bitcoin to national reserves.
Legislator Dr. Ju-chun Ko says Bitcoin could diversify reserves and reduce reliance on the US dollar, complementing,… https://t.co/Yba7ZGCWlV pic.twitter.com/RecuEznpjh
Taiwan’s Bold Entry Into Bitcoin Reserve Strategy
As Bitcoin gains global legitimacy, Taiwan is positioning itself to potentially become one of Asia’s first nations to formally integrate digital assets into its financial reserves. The idea emerged from a backlog of confiscated Bitcoin assets, seized during anti-money laundering and cybercrime operations.
With Bitcoin’s institutional acceptance rising and traditional currencies facing volatility, legislators and economic strategists are calling on the Central Bank of the Republic of China (Taiwan) to treat Bitcoin not just as contraband but as a potential hedge in its economic arsenal.
- Legislator Dr. Ju-chun Ko has urged a strategic shift, noting Taiwan’s vulnerability due to its 92% reserve exposure to US Treasury bonds.
- Taiwan currently holds 423 tonnes of gold, but key voices argue that this and US Treasuries are no longer sufficient to shield against global financial shocks.
- The pilot project would start with Bitcoin already in government custody, converting these digital assets into a functional component of the national reserve.
High-Level Support and Global Momentum
Support for the idea is coming from multiple political and financial leaders:
- Cho Jung-tai, a member of the Legislative Yuan, confirmed that the government will begin pilot testing Bitcoin reserves using seized BTC.
- Cho has been championing this proposal since May 2025, after discussing the national reserve strategy with JAN3 CEO Samson Mow, a prominent advocate for sovereign Bitcoin adoption.
- Former Premier Chen Chong has also echoed the call for diversification, criticizing the central bank for lagging behind nations like France and Germany in building up gold and alternative assets.
- KMT Chairman Eric Chu questioned the long-term viability of Taiwan’s US bond holdings, asking, “How much of this will Taiwan be able to redeem?”
These sentiments are part of a broader trend across global finance. A recent survey of 75 central bank reserve managers showed that:
- 60% plan to diversify their holdings in the next two years.
- 73% expect a decline in US dollar holdings due to geopolitical risks and policy uncertainty.
Strategic Benefits of Bitcoin for Taiwan
Should Taiwan proceed, it would join countries like El Salvador and Argentina that have embraced Bitcoin at a national level. This strategy could provide:
- A hedge against currency depreciation and geopolitical instability.
- Reduced concentration risk in Taiwan’s reserves portfolio.
- A signal to investors that Taiwan is adopting future-forward financial strategies.
Samson Mow praised Taiwan’s initiative, calling it a signal of shifting tides in Asia. He believes more countries will follow as Bitcoin solidifies its role as a digital alternative to gold.
SQ Magazine’s Takeaway
I think Taiwan’s move is bold, smart, and maybe even overdue. Relying too heavily on the US dollar is a risky play in today’s economic climate. Taiwan recognizing Bitcoin not just as an asset but as a strategic reserve sends a message to the world that the future of finance is digital. It’s refreshing to see leadership willing to explore new paths instead of clinging to old models. If this plan takes off, Taiwan could quickly become a trailblazer in crypto-aligned national policy.
