The Bank of Korea (BOK) has reiterated its cautious stance on adopting Bitcoin as part of its national reserves, signaling a conservative approach amid the growing global interest in digital asset integration.
While some central banks worldwide have explored Bitcoin as a potential reserve asset, South Korea’s central bank remains wary of its volatility and regulatory uncertainties. The BOK emphasized that Bitcoin’s price fluctuations and lack of intrinsic value pose risks that could impact financial stability.
Despite South Korea’s active crypto market and increasing institutional adoption of digital assets, the central bank maintains a preference for traditional reserves such as gold and foreign currencies. However, the broader discussion around Bitcoin’s role in national reserves continues to gain traction as some countries, including El Salvador, have already embraced BTC as a sovereign asset.
South Korea’s cautious approach reflects a broader trend among financial regulators balancing innovation with risk management. While the nation continues to refine its regulatory framework for digital assets, the prospect of Bitcoin being included in its official reserves remains uncertain.
