Former German Finance Minister Christian Lindner stated that the European Central Bank (ECB) and the Bundesbank should evaluate crypto assets such as Bitcoin to strengthen their reserve policies.
According to the German economic newspaper Handelsblatt, Lindner stated that the ECB and the Bundesbank should review their reserve strategies.
Lindner emphasized that digital assets such as Bitcoin could be a potential option to increase the durability of reserves.
According to the BBC, by 2024, the Bundesbank's reserves will be at 324.4 billion euros, the ECB's at 40 billion euros, and the total amount of reserves will be 364 billion euros.
Lindner stated that digital assets, as well as traditional reserves, could be important for national and regional financial stability, and that this step could increase economic diversification.
He stated that Bitcoin's limited supply and decentralized structure have the potential to contribute to reserve policies in the long run.
The possibility of the ECB and the Bundesbank including cryptocurrencies in their reserves is seen as an important step in the digitalized financial world. However, it is emphasized that the authorities need to conduct a detailed analysis of the feasibility and potential risks of such a policy.
The idea of cryptocurrencies being included in state reserves has been on the agenda more frequently in recent years with statements coming from various countries. How Lindner’s proposal will be reflected in European financial policies is a matter of great curiosity.