Bank of Korea: No plans to include Bitcoin in foreign exchange reserves

ChainCatcher news, according to South Korea's Economic TV, the Bank of Korea has clearly stated that it has "never considered including Bitcoin in its foreign exchange reserves." In response to written inquiries from National Assembly member and Planning and Finance Committee member Cha Gyu-geun on the 16th, the Bank of Korea stated, "We believe it is necessary to approach the issue of including Bitcoin in foreign exchange reserves with caution."

This is the first time the Bank of Korea has expressed its position on the issue of Bitcoin reserves, and the primary reason for its negative stance is the high volatility of Bitcoin prices. In this regard, the Bank of Korea pointed out, "If the virtual asset market becomes unstable, there is a risk that the transaction costs of Bitcoin may increase sharply during the liquidation process. We believe that Bitcoin also does not meet the International Monetary Fund (IMF) standards for foreign exchange reserve calculations. To date, we have never discussed or considered including Bitcoin in our foreign exchange reserves." The Bank of Korea added, "As far as we know, some countries like the Czech Republic and Brazil hold a positive attitude towards this, but the European Central Bank (ECB), the Swiss National Bank, and the Japanese government have all expressed opposition."