The National Bank of Abu Dhabi has opened the possibility of allocating Bitcoin in its investment process

Emirates NBD executives stated in an interview with CNBC that the bank has opened up the possibility of allocating Bitcoin in its investment process, viewing it as a store of value and "digital gold," recognizing its proof-of-work mechanism, limited supply, and low inflation characteristics.

The executive candidly mentioned that Bitcoin's current valuation is more attractive than it was six months ago, as its price was too expensive back then. He revealed that the bank's internal fair value model indicates that Bitcoin's reasonable price could approach $100,000 within 12 months, and the bank is still refining the model.

He also stated that the bank has not yet finalized the allocation of Bitcoin, but if it is included in the investment portfolio in the future, it will be allocated in a limited proportion. The reason is that Bitcoin is correlated with market risk appetite and has extreme volatility, while the bank seeks to achieve portfolio diversification.