Bitcoin may soon share space with gold on central bank balance sheets, according to a new report from Deutsche Bank (NYSE:DB) that frames the cryptocurrency as an emerging reserve asset.
“There is room for both gold and Bitcoin to coexist on central bank balance sheets by 2030,” Deutsche Bank analysts Marion Laboure and Camilla Siazon wrote in a note published on Monday (September 22).
The firm’s report pointed to recent diversification trends in global reserves. The US dollar, still the dominant reserve currency, accounted for 57 percent of holdings in 2024, down from 60 percent at the start of the century.
China, in addition, reduced its US Treasury holdings by US$57 billion last year.
Against this backdrop, both gold and Bitcoin are being positioned as hedges against inflation, geopolitical risk, and questions about monetary sovereignty.
Gold has been the standout performer in 2025. The precious metal surged to a record US$3,763 per ounce on Monday, capping a year-to-date rally of more than 40 percent and its largest gain in over four decades.
Central banks have been a driving force behind the rally, with a World Gold Council (WGC) survey showing 43 percent of monetary authorities plan to increase their gold reserves in the next 12 months.
Nearly all respondents, tallying at 95 percent, expect global central bank reserves overall to continue rising.
Bitcoin, meanwhile, has faced short-term pullbacks but shown longer-term resilience. After topping US$123,500 in August, the cryptocurrency slipped below US$113,000 at the start of the week.
Yet analysts at Deutsche Bank highlighted that its 30-day volatility hit historic lows even during record-breaking price runs, a sign that Bitcoin may be decoupling from its speculative reputation.
That adoption is evident in corporate balance sheets as well. More than 180 companies have added Bitcoin or other crypto assets to their holdings, often modeling their strategy on Strategy’s high-profile accumulation led by executive chairman Michael Saylor.
Still, enthusiasm for crypto-related equities has waned, even as direct holdings gain traction among institutional investors.
Prominent public figures have also lent support. Eric Trump told Yahoo Finance that a potential interest rate cut could help crypto “skyrocket,” framing digital assets as an important hedge against traditional markets.
While Deutsche Bank’s analysts acknowledged the risks tied to Bitcoin’s sudden swings, they said regulation and shifting macroeconomic conditions could accelerate its path to legitimacy.
The bank drew parallels between Bitcoin’s trajectory today and gold’s rise in the 20th century, suggesting that skepticism could eventually give way to acceptance. While both admitted that neither asset is likely to dethrone the dollar, both could serve as complementary tools for monetary authorities seeking diversification.
Still, 2025 has been “excellent” for both gold and Bitcoin even if their price movements diverge.
“So long as we are human, Bitcoin and other alternative assets will likely continue to compete for our attention,” the note concluded.
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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.