Nikolas Sargeant
The Czech National Bank made significant adjustments to its US investment portfolio during the second quarter, notably establishing a new position in cryptocurrency exchange Coinbase Global while substantially increasing its holdings in data analytics firm Palantir Technologies. According to SEC Form 13F filings, the central bank acquired 51,732 Coinbase shares valued at over $18 million, marking a notable institutional endorsement of the cryptocurrency sector. This move aligns with the Czech bank's previous considerations of Bitcoin diversification and comes as Coinbase became the first crypto company to join the prestigious S&P 500 index in May, signaling growing mainstream acceptance of digital asset platforms.
The Czech National Bank also demonstrated continued confidence in Palantir Technologies by adding 49,135 shares during the quarter, bringing its total holdings to 519,950 shares by the end of June. Palantir's stock performance has been particularly strong, surging 80% in the first half of 2025 and significantly outperforming the S&P 500's 5.5% gain over the same period. The company has benefited from robust earnings reports and increasing investor enthusiasm for artificial intelligence applications, positioning it as a key player in the evolving tech landscape.
Coinbase's inclusion in the Czech bank's portfolio reflects the exchange's improved market position despite some recent financial challenges. While the company's stock rose 41% in the first half of 2025 and gained additional momentum with approximately 60% growth over the past month, its Q1 revenue dropped 10% quarter-over-quarter to $2 billion. The decline was attributed to reduced trading activity across the cryptocurrency market, with transaction volumes falling 10.5% to $393 billion, partly influenced by regulatory uncertainties and market conditions.
The Czech National Bank's investment strategy appears to focus on companies positioned at the intersection of traditional finance and emerging technologies. This approach reflects the Czech Republic's increasingly crypto-friendly regulatory environment, including Bitcoin capital gains tax exemptions. Coinbase has been actively expanding its market presence through strategic acquisitions, including the $2.9 billion purchase of crypto options platform Deribit and the recent acquisition of token management platform Liquifi. These moves, combined with institutional investments like the Czech bank's position, suggest growing confidence in the long-term viability of cryptocurrency infrastructure companies as they mature and integrate with traditional financial systems.
