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Taiwan Shocks Markets as Government Begins Formal Review to Add Bitcoin to Its National Reserves

Anjali Kochhar
Anjali Kochhar

November 17, 2025

By Anjali Kochhar

Taiwan has taken a bold step that could reshape financial strategy across Asia, as the government has officially launched a comprehensive review to determine whether Bitcoin should be added to the country’s national strategic reserves. The move signals a significant shift in how global powers may view digital assets  not as speculative instruments, but as potential tools of economic stability and sovereignty.

The Executive Yuan and Taiwan’s Central Bank jointly approved the assessment on 12 November 2025. This formal review will analyse Bitcoin’s suitability as a reserve asset by examining custody frameworks, regulatory implications, volatility risks and long-term macroeconomic benefits. It marks the first time a major Asian economy has publicly considered integrating Bitcoin into sovereign reserves.

Taiwan’s interest is driven largely by its heavy dependence on the U.S. dollar. The nation currently holds around US$577 billion in foreign exchange reserves, of which nearly 92% is tied to U.S. Treasuries and dollar-linked assets. Officials have grown increasingly concerned about this concentration, citing vulnerability to U.S. monetary policy, inflationary cycles and global geopolitical shifts especially in a region where tensions remain high.

The initiative is being championed by legislator Ko Ju-Chun, who argues that Bitcoin’s decentralised structure and capped supply offer a unique hedge against currency and geopolitical risks. According to Ko, Bitcoin could help Taiwan diversify away from dollar dependency and strengthen long-term economic resilience.

As part of the pilot programme, regulators will initially focus on Bitcoin seized by Taiwanese law-enforcement agencies rather than purchasing new Bitcoin from the open market. This strategy allows the government to test operational frameworks  including custody, valuation, auditing and legal treatment  without adding financial risk.

A full assessment report is expected by the end of 2025. Alongside the Bitcoin review, Taiwan is accelerating the development of new digital-asset regulations to modernise oversight and ensure the country remains competitive in global fintech innovation.

If Taiwan proceeds with integrating Bitcoin into its reserves, it would join a growing group of nations adopting sovereign-level Bitcoin strategies. El Salvador continues to accumulate Bitcoin, while the United States has already proposed its own Strategic Bitcoin Reserve.

Taiwan’s exploration marks a potential turning point: Bitcoin is no longer just a market asset  it is now being considered as an instrument of national financial strategy. This decision, whichever way it goes, could influence how governments across Asia and beyond approach digital assets in the years ahead.

About the author

Anjali Kochhar covers cryptocurrency and blockchain stories in India as well as globally. Having been in the field of media and journalism for over four years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.

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