The Swiss National Bank (SNB) takes a firm stance against including cryptocurrencies in its reserves. Despite initiatives elsewhere, including the US, SNB stands firm.
Swiss National Bank's Stance
In an interview in Zurich, Vice Chairman Martin Schlegel emphasized that cryptocurrencies do not meet their reserve standards due to price volatility and lack of legal protections. While Switzerland has crypto-friendly regulations, the SNB focuses its reserves on maintaining monetary policy, where Bitcoin is not considered suitable.
Interest Rates and Inflation Dynamics
The SNB cut its main interest rate by 25 basis points, bringing it to 0.25% due to low inflation and economic uncertainty. Switzerland first began easing monetary policy since 2024 as inflation dropped to 0.3% in February. EFG Bank states that this decision was warranted to prevent inflation from dropping too low.
International Impact and Trade
Amid domestic monetary policy, Schlegel noted Switzerland's reliance on exports and need for free trade. Trade and open borders are crucial for Switzerland, and the currency remains a stable anchoring point amid global uncertainty.
The Swiss National Bank remains committed to monetary stability and currently has no plans to include Bitcoin in its reserves. However, an initiative to bring Bitcoin into reserves via public vote could change the current state of affairs.
