Franklin Templeton Predicts Global Expansion of Bitcoin Reserves in 2025
Franklin Templeton, the issuer of Spot Bitcoin ETFs, has predicted that more nations will adopt strategic Bitcoin reserves in 2025, as Bitcoin solidifies its role as a global asset and digital store of value. The company’s digital assets outlook for next year highlighted the growing trend of institutional and sovereign adoption of Bitcoin, which is expected to accelerate as nations shift from speculation to utility.
Key Highlights:
Predictions for 2025: Franklin Templeton expects several nations to adopt Bitcoin as a reserve asset in 2025, supported by institutional and sovereign adoption. The company anticipates that crypto’s foundational technologies will integrate into global financial systems.
Bitcoin’s Role as a Global Asset: The move towards Bitcoin reserves will help cement Bitcoin’s position as a stable, digital store of value on the world stage.
Nations Signaling Interest in Bitcoin Reserves:
Hong Kong: On Dec. 30, Wu Jiexhuang, a member of Hong Kong’s Legislative Council, proposed adding Bitcoin to the national reserves for financial stability. He pointed to El Salvador and Bhutan as examples of smaller nations that have already embraced Bitcoin as a reserve asset. Wu also highlighted the market impact of the January approval of Bitcoin ETFs in the US, which has boosted institutional adoption.
Germany: Similarly, the Free Democratic Party (FDP) in Germany has expressed openness to the idea of adopting Bitcoin as a reserve asset. Their platform for the 2025 elections supports the use of distributed ledger technology and advocates for the European Central Bank and German Bundesbank to consider Bitcoin to strengthen the European monetary system.
Christian Lindner, Germany’s former finance minister and FDP leader, criticized the government for missing out on crypto opportunities, emphasizing that Germany risks losing out on the benefits Bitcoin could offer.
US Influence:
US Policy Changes: Bitcoin proponents, such as Strike CEO Jack Mallers, have speculated that US President-elect Donald Trump could issue an executive order designating Bitcoin as a strategic reserve asset for the US, further propelling its institutional and sovereign adoption.
Franklin Templeton’s outlook reflects growing global interest in Bitcoin as a potential reserve asset, with Hong Kong and Germany signaling their intent to explore the idea in 2025. This shift could mark a significant move towards integrating Bitcoin into mainstream financial systems worldwide.
