A Harvard Research Advises Central Banks Reserve Bitcoins to Fight Off Sanctions

Matthew Ferranti, a PhD Candidate in Economics at Harvard University. He has written a research paper called "Hedging Sanctions Risk: Cryptocurrency in Central Bank Reserves". Central banks should use bitcoins for their reserves as a hedge against fiat reserve issuers.

Central banks should hold both gold and bitcoins as reserves. In case central banks are facing sanctions from fiat currencies of powerful countries especially the United States.

Gold is perfect if a country wants to fight off fiat sanctions. Countries facing sanctions from the US better use gold as their reserves. Central banks should diversify its reserve into bitcoins, especially if central banks are unable to acquire enough gold.