ECB and Germany’s Federal Bank should consider incorporating crypto assets into their reserves, following the example of the United States. This view was expressed by former Finance Minister and chairman of the FDP, Christian Lindner.
“The new [Donald] Trump administration is pursuing an extremely progressive policy regarding crypto assets such as Bitcoin. […] But Germany and Europe must not allow themselves to fall behind again. Therefore, Frankfurt should consider whether crypto assets should also become part of central bank reserves,” he noted.
According to Lindner, establishing a crypto reserve would help strengthen the treasury, as “crypto assets now constitute a significant part of global wealth growth.”
The FDP leader also acknowledged the many risks associated with cryptocurrencies, including their volatility.
“No one will invest all their savings in them. However, since these are decentralized systems where no one has unilateral power, political risks are calculable. Classic assets, such as precious metals, are also subject to fluctuations,” added the former minister.
Meanwhile, on December 30, Hong Kong lawmakers proposed adding Bitcoin to local financial reserves and using an Exchange Traded Fund for further purchases of the leading cryptocurrency.
Earlier in December, the Japanese government viewed the prospect of creating a state Bitcoin reserve with skepticism.