Deutsche Bank: Bitcoin Could Join Gold on Central Bank Balance Sheets by 2030

Core Insights - Analysts at Deutsche Bank suggest that Bitcoin may soon be recognized as a reserve asset alongside gold on central bank balance sheets, driven by geopolitical and monetary shifts [1][2][3] Group 1: Central Bank Adoption - The Trump administration's initiative to create a US strategic Bitcoin reserve has reignited discussions about central banks holding Bitcoin as a reserve asset [3][4] - Deutsche Bank predicts that both gold and Bitcoin could coexist on central bank balance sheets by 2030 [3][7] Group 2: Market Dynamics - Bitcoin's price reached over $124,000 last month before a retreat, influenced by U.S. monetary policy and upcoming election cycles [3][4] - Gold has hit a record high above $3,700 per ounce, with its market capitalization exceeding $25 trillion, while Bitcoin's market cap is above $2.3 trillion [4] Group 3: Investment Characteristics - Bitcoin's low correlation with traditional assets positions it as a potential store of value similar to gold, appealing to institutional investors [5][6] - The Federal Reserve's research indicates that revaluing U.S. gold holdings could significantly increase their book value, suggesting a similar approach could be applied to cryptocurrencies [5]