Taiwan should adopt BTC as reserve asset for potential China conflict, says BPI

The Bitcoin Policy Institute (BPI) has suggested that Taiwan should consider adopting Bitcoin as a reserve asset to prepare for a potential war with China, Cointelegraph reports. In a report, the BPI argued that in the event of a Chinese blockade or full-scale invasion, Bitcoin would be the only fully accessible and usable reserve asset. The institute noted that gold could be confiscated or become unusable and dollar holdings might be limited, whereas Bitcoin requires no physical transport, ensuring complete access. The report highlighted that at least 80% of Taiwan's central bank reserves are in U.S. dollar assets, which could face headwinds if the dollar's value declines due to rising U.S. debt or a downturn in the AI market. The BPI suggested Bitcoin could serve as a hedge against this risk. It also noted that if Taiwan adopts Bitcoin before other nations, it could benefit from future price appreciation. Currently, Taiwan holds 210 BTC confiscated during criminal investigations, an amount that ranks it seventh globally, behind El Salvador.