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

BlockBeats News, September 22nd, according to Coindesk, Deutsche Bank stated that by 2030, Bitcoin may appear on a central bank's balance sheet, coexisting with gold as a complementary hedging asset, but is unlikely to replace the US dollar as the main reserve currency.

Deutsche Bank (DBK) said in a report on Monday that Bitcoin is expected to become a recognized reserve asset alongside gold within a decade, although the precious metal may still hold 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 stated that neither Bitcoin nor gold is likely to replace the US dollar, as governments around the world will take action to protect currency sovereignty. The adoption of Bitcoin will follow a path similar to gold, transitioning from skepticism to broad acceptance, with regulation, macroeconomic trends, and time paving the way. The report stated that as investors continue to search for alternatives to traditional assets, Bitcoin may evolve from a speculative investment into a legitimate cornerstone of the global financial system.