Bitcoin might just be getting its official stamp of approval worldwide—or so Franklin Templeton seems to believe. In its 2025 crypto outlook, the asset manager predicted that “several nations” will start holding Bitcoin as part of their strategic reserves. The firm stated that Bitcoin’s role as a “digital store of value” will only solidify further, thanks to growing institutional and sovereign adoption. According to the report, 2025 could mark a turning point, with crypto technologies becoming deeply ingrained in global financial systems.
Don't Miss Our New Year's Offers:
- Discover the latest stocks recommended by top Wall Street analysts, all in one place with Analyst Top Stocks
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
Hong Kong and Germany Explore Bitcoin Reserves
This isn’t just theoretical. Some major players are already testing the waters. On December 30, Wu Jiexhuang, a member of Hong Kong’s Legislative Council, suggested Bitcoin be added to the nation’s reserves to boost financial stability. Citing El Salvador and Bhutan as pioneers, he argued that adopting Bitcoin could bolster Hong Kong’s financial resilience. Meanwhile, in Germany, the Free Democratic Party (FDP) has voiced support for using Bitcoin as a reserve asset to strengthen the European monetary system.
Crypto Shifts Focus from Speculation to Utility
Franklin Templeton predicts that Bitcoin’s global adoption will accelerate as crypto transitions “from speculation to utility.” The approval of U.S. spot Bitcoin ETFs has already driven institutional interest, a trend likely to grow under clearer regulations. Germany’s Christian Lindner called out his government for “missing opportunities” in crypto innovation, a sentiment that highlights the urgency for nations to act.
2025 might be the year Bitcoin moves from the fringes of speculation to the center stage of sovereign finance. If Franklin Templeton’s forecast is on point, we could see a seismic shift in how nations approach digital assets.
At the time of writing, Bitcoin is sitting at $93,976.86.