Deutsche Bank: Bitcoin Could Become Central Bank Reserve Asset in 10 Years, as Complementary Hedge Asset to Gold

On September 22nd, as reported by Coindesk, Deutsche Bank indicated that by 2030, Bitcoin might show up on a central bank's balance sheet and coexist with gold as a supplementary hedging asset. However, it is unlikely to replace the US dollar as the primary reserve currency. Deutsche Bank (DBK) stated in a report on Monday that Bitcoin is anticipated to become a recognized reserve asset along with gold within a decade. Although the precious metal may still maintain a leading position in official holdings. Deutsche Bank believes that due to the scarcity of Bitcoin and gold and their low correlation with other assets, they will continue to coexist as complementary assets for hedging against inflation and geopolitical risks. The bank pointed out that neither Bitcoin nor gold is likely to replace the US dollar as governments worldwide will take measures to safeguard currency sovereignty. The acceptance of Bitcoin will follow a path similar to that of gold, progressing from skepticism to widespread acceptance. Regulation, macroeconomic trends, and time will pave the way. The report stated that as investors continuously seek alternatives to traditional assets, Bitcoin may transform from a speculative investment into a legitimate pillar of the global financial system.