Taiwan Lawmaker Puts Bitcoin Reserve Odds at 80% in Five Years: Here’s His Roadmap

CN
1 hour ago

Taiwanese legislator Dr. Ko Ju-chun says there is “roughly an 80% chance” Taiwan establishes a strategic bitcoin reserve within five years if political conditions align and close to 100% within ten.

Key Takeaways

  • Legislator Dr. Ko Ju-chun sees an 80% chance of a Taiwan bitcoin reserve within 5 years, near 100% in 10.
  • Dr. Ko delivered a Bitcoin Policy Institute reserve report to Taiwan’s premier and central bank on April 29.
  • Taiwan’s Virtual Asset Service Act, passed June 30, is the island’s ‘CLARITY moment,’ Dr. Ko says.

Dr. Ko, an at-large member of Taiwan’s Legislative Yuan and vice co-chair of the legislature’s US-Taiwan Caucus, has emerged as the island’s most prominent advocate for adding bitcoin to its national reserves.

In April, he delivered the report by the Bitcoin Policy Institute (BPI), a U.S. think tank, on a potential Taiwan bitcoin reserve directly to Premier Cho Jung-tai and central bank Governor Yang Chin-long during a formal session of the legislature, urging study of an initial allocation from the island’s $602 billion in foreign exchange (FX) reserves.

Asked what he wants Taiwan’s government to take seriously, Dr. Ko told Bitcoin.com News:

National strategic reserves will not always be limited to traditional sovereign currencies, bonds, or precious metals. The world has changed. In certain extreme scenarios, such as war, sanctions, or financial disruption, Bitcoin has already begun to play a role.

The legislator is careful to posture bitcoin as a complement to Taiwan’s existing holdings rather than a replacement. “Unlike dollars or bonds, Bitcoin does not belong to any single sovereign state; unlike gold, it is digitally transferable and verifiable,” he explained, adding that under extreme geopolitical or financial pressure, the asset’s “ censorship resistance, neutrality, and ability to move value across borders can provide a unique layer of resilience.”

That resilience argument, rather than portfolio diversification, is the case Dr. Ko leads with. He pointed to “Ukraine, Iran, Bhutan, and other countries facing geopolitical or monetary pressure” as examples the Taiwanese public can readily grasp. Bhutan, notably, still holds thousands of BTC mined by its state investment arm.

Dr. Ko laid out a gradual, five-step path including serious government research, a legal foundation, a small digital-asset reserve framework, a national vault for bitcoin the government already holds or has seized, and only then formal reserve legislation.

The research phase, he noted, is underway through the BPI report and follow-up dialogue with the central bank. The legal foundation arrived weeks ago: Taiwan’s legislature passed the Virtual Asset Service Act on June 30, a sweeping licensing regime for exchanges and stablecoin issuers.

“Taiwan has just passed the Virtual Asset Service Act, which I see as our ‘CLARITY moment,'” Dr. Ko stated, referencing the U.S. CLARITY Act now approaching a Senate floor vote.

The next step, in his own words, would start small and conservative before any formal bitcoin accumulation begins.

The main variable in Dr. Ko’s forecast is electoral. He described the current ruling party as “more cautious toward Bitcoin, but more open to RWA and stablecoins,” and tied his prediction to a potential change of government.

“If Taiwan has a center-right party ruling government after the 2028 or 2032 presidential election, for example Kuomintang, I believe a Bitcoin strategic reserve could become realistic within one presidential term,” he said, adding:

So my estimate is roughly an 80% chance within five years, and close to 100% within ten years, or at least, a very high chance within ten years if the political conditions are right.

Taiwan built its gold reserves with what Dr. Ko calls foresight, and he argues the island (a technology leader with more than 80% of its reserves concentrated in U.S. dollar-denominated assets, according to the BPI report) should apply the same instinct to bitcoin before a crisis forces the question.

Whether Taipei moves at Dr. Ko’s pace remains to be seen. The central bank has so far engaged cautiously, and no allocation has been approved. But with the legal framework now in place and the research phase underway, two of his five steps are already behind him. Dr. Ko speaks at WebX in Tokyo, where Bitcoin.com News will sit down with him for a full interview.

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