EU Lawmaker Pushes for Bitcoin Reserve, Slams Digital Euro

EU member of Parliament wants the bloc to build a Bitcoin strategic reserve with example from nations making such a move

Earlier today, Sarah Knafo, a French member of the European Parliament, laid out a bold vision for Europe’s financial future. 

In her speech, Knafo strongly opposed the European Central Bank’s (ECB) proposed digital euro. She tagged the proposal a dangerous step toward total financial control. Instead, she made an urgent call for the European Union to establish a strategic Bitcoin reserve. 

Bitcoin Reserve: A Bold Alternative to the Digital Euro

Knafo presented Bitcoin reserves as a bold way for nations to achieve financial independence and shield themselves from centralized monetary policies. She highlighted that the digital euro could allow state control over personal finances. 

In constant, Bitcoin reserves would provide decentralization, transparency, and protection from inflation. By adopting Bitcoin as part of national financial strategies, countries can diversify their reserves and reduce reliance on traditional fiat systems.

Knafo pointed to El Salvador as a notable example of Bitcoin’s potential. In 2021, President Nayib Bukele adopted Bitcoin as legal tender. Despite early criticism and pressure from naysayers and the International Monetary Fund (IMF), El Salvador’s Bitcoin investment has paid off. 

Today, El Salvador’s Bitcoin investment has more than doubled in value. The strategy has added hundreds of millions to its economy while strengthening its financial independence.

France’s Nuclear Power Could Fuel Europe’s Crypto Revolution

Knafo highlighted the growing interest in Bitcoin from influential figures worldwide. The U.S. President-elect Donald Trump has hinted at creating a strategic Bitcoin reserve. 

Recently, Federal Reserve Chairman Jerome Powell has praised Bitcoin as “digital gold. This signals the asset’s growing reputation as a store of value. 

U.S. lawmakers are also exploring Bitcoin-backed financial strategies. Interestingly, similar discussions are taking place in Russia and other countries. Despite Bitcoin’s growing importance, Knafo criticized Europe for lagging behind. 

She accused the EU of stifling innovation with heavy taxes and excessive regulations, while public funds are wasted and inflation rises. Knafo warned that the ECB’s digital euro could exclude citizens from the financial system for holding opposing views.

Knafo argued that European nations should follow El Salvador’s example by building strategic Bitcoin reserves. Also, she urged the country to invest in local crypto mining. She specifically singled out France, which she believes has a unique advantage in this regard.

She believes France’s abundant nuclear energy could power a growing crypto mining industry. This would boost its standing in the global crypto economy. Knafo warned that if Europe fails to embrace Bitcoin, it risks falling behind countries like the U.S. and Russia. 

Her proposal goes beyond financial strategy. She sees it as a way to revive core European values of freedom, innovation, and economic independence. She urged policymakers to lower taxes on cryptocurrency holders. This could open the door to a new era of economic growth and independence.

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