Czech central bank buys Coinbase shares worth $18M as institutional demand surges

The Czech National Bank (CNB) made waves in Q2 2025 by purchasing $18 million worth of Coinbase (COIN) shares while increasing its holdings in data analytics giant Palantir (PLTR). The move, disclosed in a 13F SEC filing, marks the bank’s first direct exposure to the crypto sector—a strategic shift as traditional finance warms to digital assets.

With Palantir’s stock surging 80% this year and Coinbase joining the S&P 500, the CNB’s portfolio adjustments reflect a calculated bet on AI and crypto’s long-term growth. But the decision comes amid Coinbase’s mixed Q1 earnings, including a 95% net income drop.

Why the Czech central bank buys Coinbase shares

The CNB’s acquisition of 51,732 Coinbase shares aligns with a broader trend of institutional crypto adoption. As the first crypto firm in the S&P 500, Coinbase has gained legitimacy despite recent revenue declines.

“Central banks are diversifying beyond traditional assets, and crypto exchanges offer regulated gateways,” — Martin Kováč, Fintech Analyst at Charles University.

The Czech central bank buys Coinbase shares as part of a $2.9 billion US equity portfolio. Palantir, now the CNB’s largest tech holding (519,950 shares), complements this strategy with its AI-driven data platforms.

Coinbase’s rollercoaster year

While the Czech central bank buys Coinbase shares, the exchange faces headwinds:

• Revenue dropped 10% YoY to $2 billion in Q1.

• Net income fell 95% due to $596 million in unrealized crypto losses.

• Trading volumes slid 10.5%, reflecting broader market stagnation.

Yet Coinbase shares rallied 60% in July after its S&P 500 inclusion and Deribit acquisition.

“Institutions see past short-term volatility to blockchain’s infrastructure potential,” — Sarah Tran, Bloomberg Intelligence.

Palantir’s AI boom drives CNB’s bet

The Czech central bank buys Coinbase shares alongside boosting its Palantir stake by 10%. Palantir’s AI tools for defense and enterprise clients fueled an 80% stock surge in H1 2025, outpacing the S&P 500’s 5.5% gain.

“Palantir’s government contracts provide stability, while Coinbase offers crypto upside,” a CNB spokesperson said in a press briefing.

Global implications

The Czech central bank buys Coinbase shares as European regulators debate MiCA compliance. Similar moves include:

• Norway’s sovereign fund adding $200M in crypto ETFs.

• Swiss National Bank piloting a CBDC.

“Central banks are hedging against fiat risks,” — ECB report, July 2025.