The head of the Czech National Bank told the Financial Times in an interview that would submit to the Government a plan to include bitcoins on the country’s reserves.
The head of the Czech National Bank (CNB) wants to invest billions of euros from the country’s reserve in bitcoins -this would be the first time, when the west central bank acquires cryptocurrencies. In an interview with Financial Times , Ales Michael , head of this bank said that the Identity would be presented to the government. If his plan is approved, the banker would want to invest up to 5 percent of 140 billion euros of the CNB reserves.
Michl emphasised in an interview that the want to diversify the assets of the Czech National Bank which is the exception in Europe if we were to look at who is included in the portfolio. This even 22 percent of the assets held are invested in stock.The Bank Manager wants the equity of American companies to constitute half of the share portfolio , while this portion reaches thirty percent.
“Of course, if I align my position with other bankers, I would go into the jungle, or I am an industrialist. I used to manage an investment fund, so I am a typical investment banker, I would say, I like the yield” – Financial Times said Ales Michl, pointing out that his philosophy regarding bitcoins is completely different than his colleagues.
To be fair, it seems that the head of the Czech National Bank is the only one who recognises cryptocurrency as a useful precautionary element. The President of Bundesbank last month called “digital bulbs”, last month ECB officials proclaimed they know, that bitcoin is equal to the National Bank of Poland has a “Watch out for cryptocurrencies” tab on its website.
“There may be various results and when the value of bitcoins will be zero or absolutely fantastic, but throughout our history we have had and such actions as Enron and Wirecard, so we have experiences with bad investment. So I am prepared for the possible failure. As I say, my purpose is to diversify the portfolio, so if bitcoin is suitable,Let’s take it” said the head of the Czech National Bank , who was quoted by Financial Times.
“To diversify their wealth, bitcoins look good. These children (with the administration of Trump in mind) can now create the bitcoins bubble, but I think that the trend would be growth and without these children, because this is alternativean investment for the most people” – commented the CNB President.
In an interview with Ales Michel Financial Times reporters also touched the topic of the possible abandonment of the Czech crown and the introduction of the euro , about what the president of that country has mentioned.The head of the Central Bank was sceptical, pointing to the lack of sufficient price convergence or public support,thatin thenearestfuturethecountrycouldbeabandoned.
“OurPresidentisamilitarystrategist,andaneconomist.Ifyouhavepoliticalproblems,itisgoodtoholdtheeuro,butindependenceandanindependentvoiceinmoneypoliticslookgoodtofightinflation” heclaimedtothesaidthepublicandadded,thathisbankwoulddecidetoreduceinterestratesby25basispointseveryweekatthebest.
