Bitcoin’s Limited Supply and Steady Value Appeal to Central Banks Seeking Reserve Diversification, According to Deutsche Bank

According to projections from Deutsche Bank,

could be added to central bank balance sheets alongside gold by 2030, serving as a supplementary hedge rather than taking the place of the U.S. dollar. The bank’s research points to Bitcoin’s reduced price swings and increasing institutional interest as primary reasons for its possible adoption in official reserves. Although gold is expected to maintain its leading status, the report indicates that Bitcoin’s limited supply and minimal correlation with conventional assets could make it a valuable tool for diversifying portfolios against inflation and geopolitical uncertainties Deutsche Bank Sees Bitcoin in Central Bank Reserves by 2030 [ 1 ].

The bank observed that Bitcoin’s 30-day price volatility reached record lows in August 2025, even as its value climbed above $123,500. This pattern, together with regulatory progress in key markets, marks a transition from speculative activity to a more established asset class.

stressed that it is unlikely for either Bitcoin or gold to replace the dollar as the world’s main reserve currency, since governments are expected to continue prioritizing control over their own monetary systems. Still, the dollar’s portion of global reserves has already started to shrink, with China reducing its U.S. Treasury holdings by $57 billion in 2024 Bitcoin Set to Join Gold on Central Bank Balance Sheets as Volatility Eases [ 2 ].

Some countries have already begun accumulating Bitcoin reserves, in line with Deutsche Bank’s outlook. The United States currently holds about 198,000 Bitcoin, worth roughly $20 billion, while El Salvador and Bhutan have incorporated Bitcoin into their national financial strategies. The central bank of the Czech Republic has suggested allocating up to 5% of its €140 billion reserves to Bitcoin. Furthermore, U.S. states such as New Hampshire and Texas have passed laws to create strategic Bitcoin reserves, further establishing its role as a reserve asset Deutsche Bank Predicts Bitcoin Will Join Gold in Central Bank Reserves by 2030 [ 3 ].

Despite these trends, traditional financial institutions continue to show reluctance. Federal Reserve Chair Jerome Powell has firmly stated that Bitcoin will not be included in the Fed’s assets, citing legal barriers. A survey of economists conducted in February 2025 found no backing for the idea that crypto reserves would benefit the U.S. economy. Nonetheless, Deutsche Bank maintains that Bitcoin’s path is similar to gold’s, moving from initial skepticism to eventual institutional acceptance. The bank expects that clearer regulations and broader economic trends will speed up this shift Bitcoin (BTC) to Join Gold on Central Bank Balance Sheets by 2030 [ 4 ].

The report from Deutsche Bank highlights the possibility of Bitcoin existing alongside gold in central bank portfolios, taking advantage of its scarcity and ability to hedge against inflation. While the exact timeline for widespread adoption is still unclear, the increasing recognition of Bitcoin as a reserve asset signals significant changes in global finance. As volatility continues to decrease and adoption widens, Bitcoin could shift from being seen as a speculative investment to becoming a foundational part of the financial system, supporting traditional reserves without threatening the dollar’s leading role Deutsche Bank: Bitcoin to Appear on Central Bank Balance Sheets by 2030 [ 5 ].