Chilean Lawmakers Advocate for Strategic Bitcoin Reserve

• Lobbyist Andrés Villagrán along with several Chilean parliamentarians Bitcoin advocates Dennis Porter and Simon Collins, is advocating for a strategic Bitcoin reserve.
• Deputy Gael Yeomans proposed a “Bitcoin Bench” (Bancada Bitcoin) to study international Bitcoin legislation, draft bills, and enhance policymaking.

Advocates are supporting increasing the momentum towards making Bitcoin part of Chile’s economic framework. Lawmakers are urging the government to set up a strategic BTC reserve. Andrés Villagrán, a nation-state mining lobbyist, revealed the ongoing discussions and lobbying efforts through his posts on X.

Chile To Create A Strategic Bitcoin Reserve?

“I’ve had meetings with over 20 parliamentarians and several ministers explaining the benefits of Bitcoin to Chile and its people,” Villagrán wrote in his reflection since 2023. He said that his lobbying gained significant traction in mid-2024, with increased efforts to highlight Bitcoin’s potential economic impact.

For context, Villagrán has worked with Dennis Porter, the Satoshi Act Fund CEO, and Simon Collins, the Stackr CEO. Both of these gentlemen have prior experience in Bitcoin-related legislation advocacy.

Porter’s nonprofit organization has presented more than 30 bills to date. Moreover, together with Villagrán, he met with the Chilean officials to present some data-driven insights. “In mid-2024, I met Simon Collins and Dennis Porter, with whom I established a collaboration as they had both walked this same path before,” Villagrán stated.

In November 2024, Villagrán and collaborators presented the project to the elected members of government, who President Gabriel Boric chose as administration representatives. The elected deputies included prominent personalities like the deputy of Andrés Giordano from the coalition Frente Amplio and socialist deputy Juan Santana from the Socialist Party. Villagrán mentioned they were able to draw comparisons with other examples across states in America with Bitcoin reserve initiatives in Pennsylvania, Ohio, and Texas.

Last year, in June 2024, Chile allowed the first Bitcoin ETF to trade on the country’s Santiago Stock Exchange. The world’s largest asset manager, BlackRock, started trading its iShares Bitcoin Trust (IBIT) on the exchange, as per the CNF report.

The Concept of Bitcoin Bench

A Social Convergence deputy, Gael Yeomans, proposed the formation of a special bancada called the “Bitcoin Bench” (Bancada Bitcoin). This bancada would be engaged in studying international Bitcoin legislation, research, and drafting bills. Villagrán praised this move, “Personally, I think it would be ideal for this Bitcoin Bench to be from left to right.”

Although interest in the idea has been growing, the Central Bank of Chile has made some reservations for the adoption of Bitcoin as a national reserve asset. In December 2024, the bank refused a similar proposal based on implications related to regulatory compliance and adherence to IMF standards for reserve assets, including security, liquidity, and reliability.

However, Villagrán remains undeterred, emphasizing plans to engage with the Ministry of Finance, senators, and deputies in 2025 to push the proposal forward. I want to make it clear, in 2025, we will have meetings with the Ministry of Finance to present specifically the SBR, as well with ALL Senators and Deputies,” he declared.

Furthermore, Villagrán added during a live stream with Porter that Chilean laws allow the Central Bank to hold Bitcoin. This would open the possibility for further meetings with the entity later this year. For further context, Chile’s recent move toward a strategic Bitcoin Reserve mirrors those in other Latin American countries. In late 2024, Brazilian legislators offered to set aside 5% of Brazil’s foreign reserves to BTC as part of a way to help dampen economic risks, reported CNF.