Sweden Bitcoin reserve: Two Swedish Democrats have proposed the government study establishing a strategic Bitcoin reserve to hedge inflation and diversify national holdings, proposing seized crypto as one funding option while insisting the Riksbank’s monetary mandate remain unchanged to rule out a CBDC.
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Key point 1 – Proposal to study a national Bitcoin reserve and funding via seized crypto
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Key point 2 – MPs request the government reaffirm the Riksbank Act to signal no CBDC intent
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Key point 3 – Sweden has 85 crypto firms (Tracxn), and new confiscation rules allow seizure of crypto (Bitbo reference)
Sweden Bitcoin reserve: Swedish MPs urge a study into a national Bitcoin reserve to hedge inflation and diversify assets; funding options, CBDC stance and policy impact explained.
The proposal has come from two Swedish Democrats, a party that is a key player in backing the Swedish ruling coalition and its minority government.
Two members of Sweden’s parliament, the Riksdag, have proposed that the country investigate establishing a strategic Bitcoin reserve to tackle inflation and diversify its holdings.
They also want the government to promise it won’t change the legislation governing the monetary policy of Sweden’s central bank, to show it doesn’t intend to introduce a digital central bank currency.
In their proposal to the Riksdag on Wednesday, Swedish Democrats Dennis Dioukarev and David Perez said that, given other countries like the US are already in the process of creating a reserve, Sweden should “participate in this digital arms race and join the growing group of nations that accepted and recognized the potential of Bitcoin.”
Similar to the US, Dioukarev and Perez have floated the idea of funding the reserve through seized Bitcoin, but said the decision on which authority will manage the Bitcoin (BTC) is an “open question,” for now.
Sweden doesn’t have any publicly listed Bitcoin holdings, according to Bitbo. However, in November 2024 the country introduced a law allowing authorities to confiscate luxury items, including crypto, even if they aren’t the target of an investigation.
Advocates for Bitcoin strategic reserves argue nation-state treasuries holding Bitcoin could help diversify reserve composition and reduce correlation with fiat-driven monetary policy risks.
What is the Sweden Bitcoin reserve proposal?
Sweden Bitcoin reserve refers to a parliamentary proposal by MPs Dennis Dioukarev and David Perez to study creating a state-level Bitcoin reserve as a complement to traditional currency and gold reserves. The proposal emphasizes hedging inflation, diversifying assets, and signaling support for digital innovation.
How would Sweden fund and manage a Bitcoin reserve?
Dioukarev and Perez suggested using seized crypto as a potential funding source, though they left the managing authority unspecified. Sweden’s recent confiscation laws (November 2024) permit authorities to seize crypto and luxury goods, providing a legal avenue for funding without new taxation.
Market context: Tracxn lists 85 Swedish crypto firms, 20 of which raised roughly $48 million in venture capital and private funding. Bitcoin’s fixed 21 million supply and relative asset size (ranked among the top global assets) are cited as practical reasons for its reserve role.
Why do proponents say a Bitcoin reserve matters?
Proponents argue a Bitcoin reserve could reduce exposure to political, geopolitical and monetary policy risks that affect traditional reserves. They say Bitcoin’s decentralised protocol and capped supply can act as an inflation hedge, while ownership signals a national openness to digital innovation.
“In contrast, Bitcoin’s value is not driven by the monetary policies of individual states or any specific economy, which can reduce the overall correlation in the reserve,” the proposal states.
Will a Bitcoin reserve mean Sweden abandons a CBDC?
Dioukarev and Perez explicitly requested the government promise not to change the Riksbank Act’s definition of legal tender, framing the reserve proposal alongside a commitment against adopting a central bank digital currency (CBDC). The Riksbank’s prior CBDC pilot (final report March 2024) concluded the decision is ultimately political.
Human Rights Foundation data (CBDC tracker) highlights efficiency and inclusion benefits of CBDCs but warns of privacy and state-control risks—arguments cited by the MPs in advocating a non-CBDC path.
Frequently Asked Questions
How likely is Sweden to create a Bitcoin reserve?
Probability depends on political support and fiscal review; the Swedish Democrats influence the minority government, but any move requires cross-party consensus and a framework for custody, valuation and accounting of crypto assets (40–50 words).
Can seized crypto legally fund a national reserve?
Yes, under November 2024 confiscation rules Sweden can seize crypto. Using seized assets to fund a reserve would require legislative clarity on valuation, legal title transfer and custodial arrangements to meet international accounting standards.
What impact would a reserve have on Sweden’s monetary policy?
A Bitcoin reserve would be a balance-sheet diversification rather than a monetary policy tool; the Riksbank would retain control over monetary policy if the Riksbank Act remains unchanged, as the MPs request.
Key Takeaways
- Policy proposal: Two Swedish Democrats propose studying a national Bitcoin reserve to hedge inflation and diversify reserves.
- Funding options: Seized crypto is suggested as a funding source under new confiscation rules (Nov 2024).
- CBDC clarity: MPs want a government promise not to change the Riksbank Act to signal no CBDC adoption.
Conclusion
The Sweden Bitcoin reserve proposal signals growing national-level interest in crypto as a strategic reserve asset. With legal avenues for seized crypto and a vocal political actor supporting the idea, Sweden’s discussion may shape broader European debates on reserve diversification and CBDC policy. Monitor parliamentary reviews and official responses for next steps.
