German policy makers are combining their efforts to integrate blockchain and Bitcoin into its financial system. At the recent Blockchain Roundtable hosted by the Fraktion der Freien Demokraten and Frank Schäffler, members of parliament and resource persons explored several important proposals that could help the government achieve its goal.
The roundtable discussion held in the German Parliament attracted the attendance of key German policy makers, including Christian Lindner, the former Minister of Finance and Patrick Hansen, the head of the Circle.
Germany’s Bitcoin Initiative: Lindner Recommends Next Steps
Former Finance Minister Christian Lindner was one of the guests at the Blockchain Roundtable and discussed in detail what the German government can do to speed up its immersion in blockchain and Bitcoin.
Blockchain Roundtable at the German Parliament 🇩🇪
Former Finance Minister @c_lindner outlined three possible steps for Germany/EU to compete in this space:
1️⃣ Issue German government bonds on the blockchain
2️⃣ Take a strategic discussion #Bitcoin save
3️⃣… pic.twitter.com/awRpYrf2bI– Patrick Hansen (@paddi_hansen) January 10, 2025
According to Lindner, there are three ways for the government to compete in this sector. First, the German government can issue bonds on the blockchain. Second, it can encourage discussions and debates on creating a German Bitcoin repository. If this happens, Germany could follow the lead of other countries in pursuing Bitcoin as a reserve.
Third, it would allow Bitcoin ETFs to enter the European Union, which is currently limited to ETCs/ETNs. Licensing the exchange of Bitcoin ETFs will give retail investors an easy way to invest in institutional-level and highly regulated investment options, thereby increasing blockchain adoption in the region.
Germany facing Bitcoin loss in 2024?
Interestingly, the German government seized 50,000 Bitcoins last year. In January 2024, Bitcoins were seized from the website Movie.2k.com, which deals in crime movies. About 50,000 Bitcoins were seized as part of the operations, and these were sold between June 19 and July 12 last year at a price of $53,000 per Bitcoin. The transaction netted the German government more than $2.8 billion.
However, not everyone was happy with the result after seeing the increase in the price of Bitcoin that started weeks after the transaction was completed. A few weeks after the transaction, Bitcoin rose to $88,000, and when the United States elected Donald Trump to his second term of office, Bitcoin was already above $100k.
According to market observers, the incredible price of Bitcoin reached more than $100k in just a few months, highlighting the impact of the German pre-sale and emphasizing the importance of having a Bitcoin policy.
Germany’s Renewed Interest in Bitcoin
With Bitcoin trading above $90k and the pro-Bitcoin Trump taking office in the US, many analysts and analysts are expecting better days for blockchain and digital assets. And German policy makers are making up lost ground by revising negotiations to pursue a Bitcoin system. For example, Lindner spoke in the Bundestag last December, thinking about the government’s “missed opportunity” in Bitcoin. He also shared that the US is ready to implement its Bitcoin policies under Donald Trump.
Featured image from Pexels, chart from TradingView