Germany’s FDP Demands Bitcoin Reserve In Election Campaign

Germany’s Free Democratic Party (FDP) is intensifying its focus on Bitcoin and crypto policy during the run-up to the country’s parliamentary elections, scheduled for February. The party’s newly released election manifesto, published on December 18, signals a notable pivot towards integrating digital assets such as Bitcoin into the existing financial framework. Notably, the FDP mentions Bitcoin and crypto a total of five times throughout the document.

FDP Wants A Strategic Bitcoin Reserve

Central to the FDP’s platform is the idea of modernizing financial market oversight, while maintaining proportional and competitive regulatory standards. The election program stresses a commitment to “modern financial market regulation” that both protects private creditors and ensures a “level playing field” for all market participants. To achieve this, the FDP proposes expanding the responsibilities of the German Federal Financial Supervisory Authority (BaFin) so it can better “support FinTech and crypto innovations.”

The FDP also wants to ensure that Germany’s approach to crypto regulation aligns closely with broader European standards. It states that German rules should not exceed the “European minimum requirements,” implying that an overly stringent national framework could hinder competitiveness. The party suggests examining whether current regulations are “proportionate,” hinting that an overly restrictive environment may discourage innovation and push promising ventures elsewhere within the European Union.

Perhaps most notably, the FDP is “open” to the idea of both the European Central Bank (ECB) and the German Bundesbank incorporating Bitcoin into their currency reserves. While the program does not detail the mechanisms or timeline for such a move, it clearly presents the introduction of a Bitcoin reserve as a forward-looking strategy.

“We are open to the European Central Bank and the German Bundesbank using cryptocurrencies such as Bitcoin as currency reserves. This can strengthen the resilience of the European monetary system,” the election program states.

Further, the FDP’s platform strikes a balance between embracing digital innovation and preserving established monetary practices. It reaffirms support for the continued existence of cash, advocates for “broad acceptance of card payments,” and envisions a digital euro that respects user privacy and remains voluntary.

The party insists that any introduction of digital central bank money must preserve the privacy of users. “digital euro that complements cash must respect users’ privacy and be usable both online and offline. There must be no compulsion to use the digital euro and there must be no additional risks for the financial system,” the FDP demands.

This crypto-friendly pivot comes only a few days after FDP leader and former finance minister Christian Lindner Germany’s Bitcoin Dilemma: Ex-Finance Minister Urges Chancellor For Change that Germany must not lose touch with “innovations.” He compared Germany’s stance unfavorably to the next US administration under President-elect Donald Trump, which he said is poised to capitalize on “advantages that we could also have with Bitcoin.” While Lindner did not explicitly mention establishing a Bitcoin reserve at that time, his comments marked a caesura.

The FDP’s proposal has already drawn attention from key figures in the European tech community. Frank Thelen, a prominent European entrepreneur, technology investor, and TV personality, publicly supported the party’s approach via X: “First pro-crypto party in Germany @FDP. Imho a good addition to the existing currency reserves.”

At press time, BTC traded at $102,388.

Featured image created with DALL.E, chart from TradingView.com