- SNB Chief Schlegel highlights Bitcoin’s volatility as a key concern for reserves.
- Swiss initiative aims to amend the constitution, requiring bitcoin in SNB reserves.
- Despite the public push, SNB’s Schlegel maintains bitcoin is a ‘niche phenomenon.
Swiss National Bank (SNB) President Martin Schlegel disagrees with using Bitcoin as part of central bank reserves. During a March 1st 2025 interview with the Tamedia newspaper group Schlegel explained his doubts about cryptocurrencies. According to the expert their unpredictable nature renders them unsuitable for long-term value preservation. The Swiss National Bank depends on stable investments for its financial plan yet bitcoin fails to meet this standard.
Schlegel also highlighted liquidity as a key issue. The central bank needs reserves it can access quickly for monetary policy actions. However, bitcoin’s market lacks the depth and speed required for such purposes. Additionally, he pointed to security risks tied to software-based assets. Bugs and vulnerabilities in cryptocurrency systems could threaten the SNB’s holdings, he noted.
Citizens Push for Bitcoin in Reserves
A Swiss citizens’ initiative challenges Schlegel’s stance. Launched in December 2024 by entrepreneur Yves Bennaim, the campaign seeks a constitutional amendment to mandate bitcoin and gold as part of SNB reserves. Organizers have 18 months to gather 100,000 signatures to force a national vote. The proposal suggests building these reserves from the bank’s earnings, though it avoids specifying exact bitcoin amounts.
The initiative reflects growing public interest in cryptocurrencies across Switzerland. Supporters, including crypto advocates, aim to spark a broader debate on the topic. Bennaim has stated that the effort prioritizes discussion over immediate policy change. Meanwhile, Switzerland’s reputation as a crypto-friendly nation grows, with many banks already offering related services to clients.
Schlegel Views Cryptocurrencies as Minor Player
Schlegel remains unmoved by the rising popularity of digital currencies. He described them as a “niche phenomenon” in the global financial landscape. With a market capitalization of roughly CHF2,000 billion, cryptocurrencies pale in comparison to traditional systems, he argued. This perspective downplays their relevance to the SNB’s operations.
The SNB president also addressed competition concerns. He asserted that the Swiss franc faces no threat from cryptocurrencies. Currencies have long competed, yet the franc retains strong demand, Schlegel said. He expressed confidence in the central bank’s current approach, which excludes digital assets. Despite Switzerland’s progressive stance on crypto, the SNB shows no sign of shifting its reserve strategy to accommodate bitcoin. The ongoing initiative may test public sentiment, but Schlegel’s comments suggest a firm resistance to change within the institution.
