Sweden Considers Building Bitcoin Reserve to Join the Global ‘Digital Arms Race’

Two Swedish lawmakers have proposed that Sweden start a strategic Bitcoin reserve to fight inflation and diversify the country’s assets. They say Sweden must join the global “digital arms race” as other nations begin to adopt Bitcoin as part of their financial systems.

• Swedish MPs Dennis Dioukarev and David Perez propose a strategic Bitcoin reserve.
• The goal: fight inflation and diversify Sweden’s national assets.
• They suggest using confiscated Bitcoin to fund the reserve.
• Proposal calls for no central bank digital currency (CBDC) in Sweden.
• Bitcoin could strengthen Sweden’s financial independence.
• The Sweden Democrats party, part of the ruling coalition, backs the move.
• Lawmakers say owning Bitcoin signals innovation and global readiness.
• Sweden already hosts 85 crypto startups, raising over $48 million in funding.

Members of the Swedish Parliament, Dennis Dioukarev and David Perez from the Sweden Democrats party, have submitted a proposal urging the government to explore creating a national Bitcoin reserve. The lawmakers believe this move would help protect Sweden’s economy from inflation and position it as a leader in digital finance.

The proposal also asks the government to make a public promise not to change the current laws that define Sweden’s monetary policy. Specifically, they want to ensure that the central bank, Sveriges Riksbank, will not introduce a central bank digital currency (CBDC). The lawmakers say this step would reassure citizens and investors that Sweden remains committed to a free and open financial system.

Dioukarev and Perez noted that other countries, including the United States, are already building Bitcoin reserves. “Sweden should participate in this digital arms race and join the growing group of nations that recognize Bitcoin’s potential,” they said. The reserve could be funded through Bitcoin confiscated by authorities under new Swedish laws that allow the seizure of digital assets.

Sweden currently holds no official Bitcoin, but the country already allows authorities to seize luxury assets, including cryptocurrency, even when the owner isn’t under investigation. Advocates believe that adopting a Bitcoin reserve would place Sweden among forward-thinking nations that view Bitcoin as a hedge against political and economic risks.

The lawmakers argue that Bitcoin can strengthen Sweden’s financial independence because its value is not tied to the policies of any single government. “Bitcoin’s value is not driven by state monetary policies, which helps reduce correlation in the national reserve,” they wrote. Adding Bitcoin to the nation’s holdings alongside gold and fiat currency would, they believe, diversify risk and increase long-term stability.

The Sweden Democrats party, which secured more than 20% of votes in the 2022 election, plays an influential role in supporting the ruling coalition. That gives their proposal real political weight. They also claim that owning Bitcoin would signal to the world that Sweden is open to innovation and digital progress.

According to startup database Tracxn, there are 85 crypto-related companies in Sweden, 20 of which have raised a combined $48 million in funding. This shows that the country already has a growing digital finance ecosystem that could benefit from government support.

On a practical level, Dioukarev and Perez say Bitcoin could protect against inflation thanks to its fixed 21-million-coin supply. It also offers faster and cheaper transactions compared to traditional money transfers. “Bitcoin is now the world’s sixth-largest asset, comparable to silver and bigger than companies like Tesla, Meta, and Amazon,” they noted.

The two lawmakers are not alone in their stance. Earlier this year, Centre Party deputy leader Rickard Nordin also urged the finance minister to consider adding Bitcoin to Sweden’s reserves.

Alongside their Bitcoin proposal, Dioukarev and Perez called for a guarantee that Sweden won’t introduce a CBDC. They argue that the country already relies heavily on digital payment systems such as Swish, so a government-issued digital currency isn’t necessary. The Riksbank has been exploring an e-krona project since 2020, but its final report in 2024 left the decision to lawmakers, emphasizing the political nature of such a move.

While the Human Rights Foundation lists benefits such as faster payments and greater financial inclusion for CBDCs, it also warns about privacy risks and the potential for government misuse. Sweden’s Bitcoin advocates share similar concerns and see decentralized assets like Bitcoin as a safer path toward innovation.

Final Thought

Sweden’s growing debate around Bitcoin highlights a shift in how nations think about money. If adopted, a Bitcoin reserve could help the country strengthen its economy, embrace digital progress, and stand out as a pioneer in Europe’s financial future.