Former German Finance Minister Christian Lindner has publicly suggested that the European Central Bank (ECB) and the Bundesbank should consider including Bitcoin in their reserves. In a statement to the German Press Agency in Berlin, Lindner referenced the Trump administration’s progressive stance on cryptocurrencies, noting the U.S.’s ambition to lead in this domain. He pointed out that there’s discussion in Washington about the American central bank incorporating crypto assets alongside traditional currencies and gold.
Lindner’s comments resonate with a recent proposal by a European MP for a Bitcoin Strategic Reserve for Europe, following El Salvador’s significant investment in Bitcoin. As the leader of Germany’s Free Democratic Party, Lindner underscored the necessity for Europe to not lag behind the U.S. in cryptocurrency adoption, emphasizing the independence of the ECB and Bundesbank in their decision-making processes. He stated, “But Germany and Europe must not allow themselves to be left behind again,” advocating for a thorough examination of the potential role of cryptocurrencies like Bitcoin in central bank reserves.
He acknowledged the volatility of cryptocurrencies but argued that the political risks associated with them are manageable due to their decentralized nature, drawing a parallel with the fluctuations seen in traditional assets like precious metals.
Simultaneously, German lawmaker Joana Cotar has been vocal about the government’s handling of Bitcoin, criticizing the ongoing transfers of Bitcoin to various wallets as misguided. She proposed in a letter to Lindner earlier in the year that Germany should adopt a strategic approach to Bitcoin, suggesting alternatives like holding it as a reserve currency, issuing Bitcoin bonds, or fostering a regulatory environment conducive to cryptocurrency growth.