Central banks have traditionally been cautious about cryptocurrencies like Bitcoin, but recent developments suggest some are beginning to explore holding Bitcoin, at least in experimental or pilot forms. The Czech National Bank (CNB) is the first central bank known to have publicly purchased Bitcoin, creating a $1 million test portfolio that includes Bitcoin, a USD stablecoin, and a tokenized deposit. This pilot project, approved in late October 2025, aims to give the CNB practical experience with blockchain-based assets and to evaluate Bitcoin’s potential role in diversifying reserves and reshaping financial systems. The CNB emphasizes that this investment is a small fraction of its total assets and was made outside its existing international reserves, signaling a cautious but deliberate approach to engaging with cryptocurrencies[1][2][5].
The CNB’s initiative reflects a broader recognition among central banks that understanding digital assets and decentralized finance (DeFi) is important for future financial stability and innovation. The bank’s internal analysis showed that holding Bitcoin could have increased returns on reserves over the past decade but also would have significantly increased volatility. This risk-return tradeoff partly explains why the CNB has not yet included Bitcoin in its official reserves but prefers to test and monitor the situation over the next two to three years before making further decisions[2].
While the CNB is the first to openly hold Bitcoin, there is speculation and debate about whether other central banks might be holding Bitcoin off the record. No concrete evidence has emerged to confirm that other central banks are secretly accumulating Bitcoin. However, the growing institutional adoption of Bitcoin and its increasing recognition as a potential inflation hedge and store of value amid rising global money supply and government deficits provide a strong incentive for central banks to consider Bitcoin more seriously. For example, institutional investors like Harvard University have significantly increased their Bitcoin ETF holdings in 2025, reflecting confidence in Bitcoin’s long-term role in portfolios[3].
The macroeconomic environment also supports Bitcoin’s appeal. With global liquidity at record highs and persistent government deficits, Bitcoin’s fixed supply and decentralized nature make it attractive as a hedge against inflation and currency debasement. Central banks, which manage national currencies and monetary policy, are aware of these dynamics and the potential disruptive impact of cryptocurrencies on traditional financial systems. This awareness drives their interest in gaining firsthand knowledge and possibly experimenting with digital assets[3][4].
Despite these developments, Bitcoin remains a volatile and relatively new asset class. The recent price volatility and the so-called “crypto winter” have not deterred institutional interest but have slowed retail demand. Central banks, known for their conservative and risk-averse nature, are likely to proceed cautiously, balancing innovation with financial stability concerns[4].
In summary, the Czech National Bank’s public purchase of Bitcoin marks a historic milestone as the first central bank to hold Bitcoin openly. This move is part of a broader trend where central banks are beginning to explore digital assets to understand their implications better. While there is no verified evidence that other central banks are holding Bitcoin off the record, the increasing institutional adoption and macroeconomic factors suggest that central banks are paying close attention to Bitcoin and may consider it more seriously in the future. Their approach so far is experimental and cautious, focusing on gaining knowledge and assessing risks before making any large-scale commitments[1][2][3][4][5].