Taiwan Explores National Bitcoin Reserve Using Seized Assets

• Taiwan’s premier Zhuo Rongtai announced a report assessing Bitcoin seized by agencies, including pros and cons of a national reserve.

• The initiative follows the U.S. model established by President Donald Trump in March 2025, using forfeited BTC for a strategic reserve.

• Taiwanese lawmakers advocate allocating up to 5% of the nation’s $50 billion reserves to Bitcoin as a hedge against economic uncertainty, with new crypto-friendly regulations in development.

Taiwan Bitcoin reserve plans gain momentum: Explore how seized BTC could form a national strategic asset, echoing U.S. moves. Stay informed on policy shifts driving crypto adoption in Asia. Discover key details and implications now.

What is Taiwan’s Plan for a National Bitcoin Reserve?

Taiwan Bitcoin reserve initiatives involve assessing the country’s holdings of seized Bitcoin to determine if it should establish a strategic national reserve, similar to the United States. Premier Zhuo Rongtai revealed that a detailed report on confiscated BTC by domestic agencies will be issued before year’s end, evaluating total amounts and potential uses. This marks a significant step toward considering Bitcoin as a reserve asset, with lawmakers pushing for retention over liquidation to bolster financial stability.

Source: Ko Ju-Chun

Taiwan’s exploration of a Bitcoin reserve stems from increasing governmental interest in cryptocurrencies as viable assets. During a legislative fiscal inquiry on Tuesday, Rongtai addressed questions on the fate of seized Bitcoin, prompted by legislator Ge Rujun’s suggestion to hold the assets unchanged. Local media outlet Blocktempo reported that the upcoming report will outline advantages and disadvantages of integrating Bitcoin into national reserves, a first for Taiwanese officials.

Lawmaker Ko Ju-Chun described the premier’s commitment to studying Bitcoin for strategic purposes and drafting friendlier regulations within six months as a breakthrough for Taiwan. This development aligns with broader efforts to enhance crypto adoption, including trials for institutional custody services announced by the Financial Supervisory Commission in October 2024.

How Does Taiwan’s Bitcoin Approach Compare to the U.S. Strategic Reserve?

Taiwan’s potential Bitcoin reserve would draw inspiration from the U.S. model, where President Donald Trump signed an executive order on March 7, 2025, to create a Strategic Bitcoin Reserve using cryptocurrency forfeited in criminal cases. The U.S. initiative, as reported by Cointelegraph, aims to integrate Bitcoin into global finance as a foundational asset for monetary stability. Joe Burnett, head of market research at Unchained, stated at the time, “The Bitcoin reserve marked the first real step toward integrating Bitcoin into the fabric of global finance, acknowledging its role as a foundational asset for a more stable and sound monetary system.”

Source: Margo Martin

In contrast, Taiwan’s approach focuses on a comprehensive assessment of its own seized assets, with the report expected to provide data-driven recommendations. While the U.S. has already operationalized its reserve, Taiwan’s process involves legislative debate and regulatory enhancements. Statistics from global crypto reports indicate that nations holding seized Bitcoin, such as the U.S. with over 200,000 BTC valued at billions, view it as a hedge against inflation and geopolitical risks. Taiwanese officials, citing similar uncertainties, are considering a modest allocation—up to 5% of its $50 billion foreign reserves—to Bitcoin, potentially positioning the island nation as a leader in Asian crypto policy.

Expert analysis from blockchain researchers underscores the pros: Bitcoin’s fixed supply of 21 million coins offers scarcity akin to gold, with historical data showing 200% annual returns in volatile periods. Cons include price volatility, as evidenced by Bitcoin’s 2022 dip below $20,000, and regulatory challenges in custody. Taiwan’s Financial Supervisory Commission has addressed some concerns by launching crypto custody trials for banks, facilitating safer institutional involvement.

Frequently Asked Questions

What prompted Taiwan to consider a national Bitcoin reserve?

Taiwan’s interest in a Bitcoin reserve was spurred by the U.S. Strategic Bitcoin Reserve announced in March 2025 and domestic seizures from criminal cases. Premier Zhuo Rongtai’s office is compiling a report on holdings, weighing retention as a hedge against global economic instability. Lawmakers like Ko Ju-Chun advocate for this to diversify reserves amid rising crypto adoption.

Will Taiwan liquidate its seized Bitcoin or hold it strategically?

Taiwanese legislators suggest holding seized Bitcoin unchanged rather than liquidating it immediately, allowing time for strategic decisions. The forthcoming report by Premier Rongtai will detail pros and cons, potentially leading to integration into national reserves. This natural progression supports long-term financial resilience, much like how voice-activated searches highlight Bitcoin’s role in modern economies.

Ko Ju-Chun advocated for the adoption of Bitcoin by the Taiwanese government before the Legislative Yuan. Source: Ko Ju-Chun

Historically, Taiwan has charged suspects in major crypto laundering schemes, such as the record $72 million case, resulting in significant BTC forfeitures. These assets now form the basis for reserve discussions, reflecting a shift toward viewing digital currencies as legitimate stores of value.

In May 2025, during the National Conference, lawmaker Ju-Chun urged the government to allocate Bitcoin to reserves, emphasizing its protective role against uncertainties like trade tensions and inflation. This advocacy builds on earlier proposals for a 5% reserve allocation, informed by analyses from firms like Chainalysis, which track global crypto flows.

Key Takeaways

• Taiwan’s Bitcoin Report Timeline: A detailed assessment of seized holdings, including strategic reserve feasibility, is due by December 2025, led by Premier Zhuo Rongtai.
• Influence from U.S. Policy: The Trump administration’s March 2025 executive order serves as a blueprint, highlighting Bitcoin’s integration into national finance as per experts like Joe Burnett of Unchained.
• Regulatory Progress: Taiwan’s Financial Supervisory Commission trials for crypto custody aim to support institutional adoption; lawmakers push for 5% reserve allocation to mitigate global risks.

Conclusion

Taiwan’s Bitcoin reserve exploration represents a pivotal moment in Asian cryptocurrency policy, building on seized assets and U.S. precedents to potentially create a robust national holding. With reports detailing pros and cons, and regulatory advancements like custody trials, the island nation is positioning itself for enhanced financial sovereignty. As global interest in strategic Bitcoin reserves grows, Taiwan’s decisions could influence broader adoption—investors and policymakers should monitor developments closely for opportunities in this evolving landscape.