Central banks, especially in China, are considering a shift away from US Treasurys towards alternative assets like gold and Bitcoin, as per Jay Jacobs, BlackRock’s head of thematics and active ETFs. In a recent CNBC interview, Jacobs highlighted how geopolitical tensions and global uncertainty are prompting central banks to diversify their strategies. This move away from traditional assets toward gold and Bitcoin started about three to four years ago and has intensified due to recent geopolitical fragmentation. Concerns over frozen Russian central bank assets following the Ukraine invasion have led countries like China to reassess their reserve strategies. BlackRock sees geopolitical fragmentation shaping global markets in the coming decades, driving demand for uncorrelated assets like Bitcoin and gold. Jacobs noted the significant inflows into gold ETFs and Bitcoin as investors seek different behaving assets. Analysts also observe Bitcoin decoupling from US equities, showing maturity as a global asset and becoming more like gold. This sentiment is echoed by QCP Capital, stating that Bitcoin is gaining traction as a hedge against macroeconomic uncertainty, potentially leading to increased institutional Bitcoin allocation. This shift signifies a broader trend of central banks exploring new stores of value amidst geopolitical uncertainties, driving interest in alternative assets like Bitcoin and gold as safe havens.