The Philippines is reviewing a proposed bill that would enable the country's central bank to accumulate up to 10,000 bitcoins as part of a strategic reserve. If passed, the country would become the first in Southeast Asia to implement such an initiative.
Bill Overview
The proposed bill, known as the Strategic Bitcoin Reserve Act, was presented by Congressman Miguel Luis Villafuerte. It mandates the central bank to purchase 2,000 bitcoins per year for five years, culminating in an accumulation of 10,000 bitcoins in cold storage under strict oversight. The reserve must remain untouched for 20 years, except in cases related to sovereign debt.
Transparency and Accountability Requirements
The bill also introduces transparency and accountability measures. It mandates a proof-of-reserves system that requires the BSP governor to issue quarterly public reports detailing the reserve's Bitcoin holdings, wallet addresses, and control over private keys.
Potential Benefits of the Reserve
If enacted, the Philippines would become the first Southeast Asian nation to legally create a sovereign Bitcoin reserve. This could enhance the country's reputation in global cryptocurrency circles. Experts believe that such an initiative could aid the Philippines in securing financial independence and supporting financial inclusion in a largely unbanked population.
The proposed Strategic Bitcoin Reserve bill could signify a pivotal step for the Philippines in the realm of digital assets and financial independence, though its approval is still uncertain.
