BOK Rejects Bitcoin for Reserves Due to Volatility

user avatar

by Giorgi Kostiuk

2 years ago

The Bank of Korea has stated their decision against including Bitcoin in the country's foreign exchange reserves.

Bank of Korea's Statement

The Bank of Korea has stated that it has never considered including Bitcoin in the country's foreign exchange reserves. They highlighted the need for caution in adding Bitcoin to financial assets.

Bitcoin Volatility

According to Korea Economic TV, the bank identified Bitcoin's extreme price volatility as a major concern. The price of Bitcoin has ranged from 160 million won to 110 million won recently. Some experts warn that Bitcoin's value could drop to zero at any time.

IMF Criteria for Reserves

The Bank of Korea explained that Bitcoin does not meet the International Monetary Fund's standards for foreign exchange reserves. According to the IMF, reserves must be liquid, marketable, and expressed in a convertible currency with a high credit rating. It was also noted that other major financial institutions, like the European Central Bank, hold negative views on this matter.

"There has been no discussion or review of Bitcoin's inclusion in foreign exchange reserves."The Bank of Korea

The Bank of Korea firmly excludes the possibility of including Bitcoin in their foreign exchange reserves, emphasizing the cryptocurrency's volatility and non-compliance with international standards.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

US Treasury Acts Against MEXC Global for Illegal Transactions.

The US Treasury's FinCEN has issued a measure prohibiting US financial institutions from processing transfers involving MEXC Global due to $16 billion in illicit transactions linked to sanctions evasion and cybercrime.

user avatarSatoshi Nakamura

Yaroch's Theft Compromises Investigations and Raises Security Concerns

Yaroch's fraudulent activities compromised investigations and raised security concerns regarding cryptocurrency managed by government agencies.

user avatarJesper Sørensen

Former FBI Agent Admits to Stealing $25 Million in Cryptocurrency

Former FBI agent Patrick Steven Yaroch pleaded guilty to stealing nearly $25 million in cryptocurrency from federal investigations, compromising sensitive operations.

user avatarRajesh Kumar

Labor Department Submits Crypto Retirement Rule for Review

The Labor Department's proposal includes guidelines for evaluating cryptocurrencies as investment options.

user avatarLucas Weissmann

Political Opposition to Crypto in Retirement Plans

Lawmakers express concerns over the risks of including cryptocurrencies in retirement savings.

user avatarEmily Carter

Trump Administration Proposes Crypto Inclusion in Retirement Plans

The US Department of Labor has proposed a regulatory framework to include cryptocurrencies in 401k plans, potentially opening a $10 trillion retirement market, pending White House approval.

user avatarFilippo Romano

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.