Content and data provided by various third parties and Fidelity - Terms of Use
Print.Print
Small font size A Larger text size A Largest text size A

Bitcoin Not to Be 'Lumped Together' With Crypto: Czech Central Bank Chief Michl

BY Coindesk | ECONOMIC | 02/19/25 09:27 AM EST By Stephen Alpher

Czech National Bank Governor Ales Michl on Wednesday continued his campaign for possibly adding bitcoin (BTC) to the central bank balance sheet, including encouraging words for those frustrated by the reputational damage inflicted on bitcoin by the broader crypto market.

The crypto market will experience "failures and successes," wrote Michl in a longish X post. "Bitcoin, however, is a different story. It should not be lumped together with other crypto assets."

It might not be a coincidence that Michl chose to post this after the events of the past few days in which the already unwholesome memecoin craze reached new levels of grift. This included rugpulls encouraged by Binance founder Changpeng Zhao and Argentine President Javier Milei.

Michl came on the radar of the bitcoin market last month when he submitted a proposal that the Czech National Bank study adding alternative assets ? bitcoin among them ? to its balance sheet. The proposal was approved by the bank board and Michl reminded today this is only the initial stage of analysis.

"We central bankers should study it and explore the technology [bitcoin] is built on," Michl said. "Studying bitcoin won?t harm us ? on the contrary, it will strengthen us."

More Fixed Income News

All Fixed Income News

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

© 1998 – 2014 FMR LLC.

All rights reserved.
fir_news_article