German Politician Slams Bitcoin Sale, Urges Country to Embrace Crypto
A German politician is calling out the government for selling its Bitcoin holdings, arguing it was a “monumental missed opportunity.” Joana Cotar, a member of the German Bundestag, believes the sale sends a concerning signal about Germany’s readiness to embrace the digital economy.
A “Monumental Missed Opportunity”
Cotar criticizes the explanation given by the state of Saxony for the sale, stating that it demonstrates a misunderstanding of Bitcoin’s nature. She suggests changes to the law to allow government institutions to hold Bitcoin for extended periods, arguing that it has the potential to act as an inflation hedge and provide protection against geopolitical risks.
Bitcoin as Legal Tender?
Cotar believes exploring Bitcoin as legal tender in Germany is “worth exploring.” She proposes a regulatory sandbox for Bitcoin businesses, similar to Switzerland’s “Crypto Valley” in Zug, to foster innovation while managing risks.
Praise for El Salvador’s Bitcoin Initiatives
The Bundestag member also praises El Salvador’s pro-Bitcoin measures, specifically mentioning Bitcoin bonds and the proposed Bitcoin City. She believes Germany could benefit from similar initiatives.
IMF Opposition is “Short-Sighted”
Cotar dismisses the International Monetary Fund’s (IMF) opposition to cryptocurrencies as “short-sighted,” arguing that the IMF fails to understand the potential of crypto to solve issues such as financial inclusion. She criticizes the IMF’s support for Central Bank Digital Currencies (CBDCs), which she sees as a rival to cryptocurrency technology.
First-Mover Advantage
Cotar believes that the first OECD country to embrace Bitcoin as a strategic reserve asset could gain a significant first-mover advantage, attracting tech talent, startups, and potentially reducing reliance on the US dollar.
Cotar’s outspoken stance on Bitcoin and her call for Germany to adopt a more progressive approach to the digital economy are sparking debate in the country.
