Swiss lawmaker pushes for Bitcoin in national reserve, faces skepticism ahead of referendum

Samuel Kullmann, a member of Switzerland’s parliament, is pushing for a constitutional referendum to include Bitcoin in the central bank’s financial reserve. The campaign needs 100,000 signatures before it can be tabled for a referendum.

The legislator has strategically pushed the Bitcoin agenda in the legislative house and on any podium with an audience. His campaign is already bearing fruit, as Swiss crypto advocates have forwarded a proposal to compel the Swiss National Bank (SNB) to hold part of its reserve in gold and Bitcoin.

SNB Chairman doubts BTC’s role in national reserve amid growing crypto support

Although the cryptocurrency agenda is getting loud in Switzerland, most people are feeling cold about incorporating it into their national reserve. Swiss National Bank Chairman Martin Schlegel has expressed concern for cryptos like Bitcoin and Ether, calling them niche phenomena. He believes the cash system would play an important role in the Swiss payments system.

In November, at an event organized by the Aargauische Kantonalbank in Brugg, he noted that Bitcoin and other virtual currencies have grown enormously in recent years. However, he observed that the currencies remain a niche phenomenon.

While the chairman has never taken a position on the future of crypto, he has raised several concerns, such as its fluctuation in value, making it difficult to rely on it as a form of payment. There are also concerns about the amount of energy Bitcoin uses and illegal crypto-related activities.

One online user, @PB3g3r, feels the initiative is just an educational or reelection campaign tool, as the proposal will fall. He holds that the Citizens and Cantons of Switzerland will not modify their constitution for a few more dollars, and they trust that the Swiss National Bank will act accordingly.

Another online user, Till Könneker, reacted on X by saying: “You know how Swiss democracy works. Unfortunately, people will never vote for this.”

Bitcoin is going from neutral to constitutional

The call to constitutionalize BTC is not new in Switzerland. Switzerland’s Canton of Bern parliament already approved a motion to relook at Bitcoin mining to use surplus energy and stabilize its electricity bill. 

The proposal backed by Samuel Kullmann was tabled by an expert and supported by five political parties on March 14, 2024. However, the government was against this proposal. It was passed decisively by 85 to 46 votes in the Grand Council.

The cross-party initiative is compelling the government council to study how BTC mining can repurpose unused energy and create economic opportunities. The passing of this motion is driving Samuel Kullmann’s confidence that they will succeed in the referendum push and that Bitcoin will be integrated into the Swiss constitution.