European regulator may create its own cryptocurrency reserve

Yesterday, December 17, a proposal to create a strategic bitcoin reserve was made in the European Parliament. The initiative was voiced by Sarah Knafo, a representative of the «Reconquista» party. She emphasized the advantages of the first cryptocurrency, in particular its decentralized nature, limited supply and growing popularity in the world. Knafo believes that Bitcoin BTC can serve as a means of diversifying reserves and protecting against economic instability.

The MP compared the regulation of digital assets in the world, mentioning the legalization of Bitcoin in El Salvador and the initiatives of the newly elected US President Donald Trump. She also recalled the words of the head of the US Federal Reserve, Jerome Powell, who compared Bitcoin to gold.

Knafo criticized the European Central Bank (ECB) for excessive control and called for a rethink of its approach to cryptocurrencies. According to her, the ECB should accept the decentralized nature of Bitcoin and say «no» digital euro, which she called a «totalitarian project».

Interest in creating bitcoin reserves is growing worldwide. Similar initiatives have been presented in Brazil, Texas and even at the federal level in the USA. However, not all politicians support this idea. For example, former US Treasury Secretary Lawrence Summers called it «madness». Meanwhile, experts predict that the implementation of such plans could lead to a global race of states for dominance in the digital gold market.

Natasha Kumar

By Natasha Kumar

Natasha Kumar has been a reporter on the news desk since 2018. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining The Times Hub, Natasha Kumar worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my natasha@thetimeshub.in 1-800-268-7116