Taiwan explores launching national BTC reserve with confiscated crypto

Taiwan’s Prime Minister and the Central Bank have agreed to study the possibility of a national BTC reserve. The country would use seized BTC to build up a treasury. 

The Taiwan BTC initiative was presented to the Premier and Central Bank, seeking ways to convert Taiwan’s store of seized BTC into an official treasury. The proposal arrived at a time when BTC was off its all-time highs, but still traded above $102,000. 

The treasury initiative was presented by legislator Dr. Ju-chun Ko, who proposed a pilot study and a six-month period to draft new crypto-friendly legislation. 

🚨 Taiwan breakthrough! Premier & CBC commit to:
1️⃣ Study #Bitcoin as strategic reserve
2️⃣ Draft BTC-friendly rules in 6 mos
3️⃣ Pilot BTC treasury holdings—starting with inventorying seized BTC awaiting auction!
Led by @dAAAb . #BTC fam, let’s make TW the Asia hub! 🇹🇼⚡… pic.twitter.com/OtczhWt8LK

— 科技立委葛如鈞 Ko Ju-Chun (@dAAAb) November 12, 2025

The proposal was also created in partnership with the JAN3 group, headed by long-term Bitcoin supporter Samson Mow. 

Dr. Ju-chun Ko has also previously called on the country’s Central Bank to consider alternative reserves in a time of economic and political uncertainty. The proposal took into account the recent volatility of the Taiwan dollar, suggesting BTC may be a hedge against currency volatility. 

The Taiwan Central Bank relies on $600B in foreign currency reserves and 432 tonnes of gold, one of the relatively large treasuries globally. Gold reserves increased in 2025 in response to geopolitical uncertainty. However, the Central Bank does not treat BTC as a similar alternative for currency debasement. 

Taiwan’s Central Bank has shown increased vigilance for crypto, especially after the rise of stablecoins. As Cryptopolitan reported earlier, Taiwan’s regulators called for stricter oversight on stablecoin usage and issuers. Despite some skepticism, the Central Bank will launch a pilot study on using seized BTC. 

Government entities prove to be long-term holders

Government entities hold an estimated 644,342 BTC, mostly seized from crypto-related crackdowns. The few exceptions are El Salvador and Bhutan, who have accumulated BTC from a mix of buying and mining. 

The current holdings of government entities surpass the treasury of Strategy. Government holdings are usually acquired at an extremely low cost basis, and there is no pressure to sell. Often, some of the seized BTC are still contentious, and some may be inaccessible despite court documents. 

There is currently no data on BTC controlled by Taiwan. China already holds 190,00 BTC, but does not consider the coins a part of a deliberate strategy. 

More BTC held by large-scale entities

BTC has changed its ownership structure, with more coins held by large-scale entities. Treasuries have continued to absorb coins, even without the intentions of active trading. 

BTC ownership has shifted from retail to both long-term and short-term whale wallets. In 2025, whales took profits on BTC, but the presence of corporate and government treasuries served to avoid panic and capitulation.

With the rise of derivative trading, long-term holders have fewer incentives to sell the actual coins. More treasuries and reserves also solidify the perception of BTC as a long-term bet on currency debasement.

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