Deutsche Bank: BTC could become central bank reserve asset by 2030

Germany's largest commercial bank, Deutsche Bank, has forecast that Bitcoin could be included as a reserve asset on central bank balance sheets by 2030, Coindesk reported. A report from the bank noted that while the U.S. dollar still accounts for 57% of global foreign exchange reserves, this landscape is changing. For instance, China reduced its holdings of U.S. Treasury bonds by $57 billion last year. The report suggests that in the future, Bitcoin and gold will serve as complementary hedges against inflation and geopolitical risks, based on their low correlation with the dollar and traditional assets. While Bitcoin is unlikely to replace the dollar's status immediately, Deutsche Bank explained that its adoption as a reserve asset will gradually accelerate as regulatory frameworks and the economic environment evolve.