Germany Renews Its Interest in Bitcoin With Christian Lindner Recommending the Next Steps

German policymakers are ramping up their efforts to integrate the blockchain and Bitcoin into its financial system. In a recent Blockchain Roundtable

German policymakers are ramping up their efforts to integrate blockchain and Bitcoin into the country's financial system. At a recent Blockchain Roundtable hosted by Fraktion der Freien Demokraten and Frank Schäffler, parliament members and resource persons discussed several key proposals to help the government achieve its goal.

The roundtable, held in the German Parliament, was attended by several key policymakers, including former Finance Minister Christian Lindner and Circle executive Patrick Hansen.

Germany's Bitcoin Initiative: Lindner Outlines Next Steps

Former Finance Minister Christian Lindner was among the guests at the Blockchain Roundtable, discussing at length what the German government could do to accelerate its entry into blockchain and Bitcoin.

According to Lindner, there are three ways for the government to compete in this industry. First, the German government could issue bonds on the blockchain. Second, it could encourage discussions and debates on creating a German Bitcoin reserve. If this happens, Germany can follow the lead of other countries actively pursuing Bitcoin as a reserve.

Third, it can allow Bitcoin ETFs to enter the European Union, which is currently limited to ETCs/ETNs. Approving the trading of spot Bitcoin ETFs will give retail investors a convenient way to invest in institutional-grade and highly regulated investment options, boosting blockchain adoption in the region.

Germany Reeling From Its Bitcoin Loss In 2024?

Interestingly, the German government controlled 50,000 Bitcoins last year. In January 2024, the Bitcoins were seized from the website Movie.2k.com, which operates pirated movies. Around 50,000 Bitcoins were seized as part of the operations, and these were put on sale between June 19th and July 12th last year at the price of $53,000 per Bitcoin. These transactions generated over $2.8 billion for the German government.

However, not everyone was happy with the result after witnessing Bitcoin’s price surge that started weeks after the completed transactions. Weeks after the transaction, Bitcoin surged to $88,000, and by the time the United States elected Donald Trump for his second administration, Bitcoin had already crossed the $100k mark.

According to market observers, Bitcoin's impressive price run to over $100k in just a few months highlighted the impact of Germany's early sales and underscored the importance of having a Bitcoin policy.

Germany's Renewed Interest On Bitcoin

With Bitcoin trading above $90k and a pro-Bitcoin Trump taking office in the US, many commentators and analysts expect better days for blockchain and digital assets. And German policymakers are making up for lost ground by revisiting the discussions to pursue a Bitcoin program. For example, Lindner spoke at the Bundestag last December, reflecting on the government’s “missed opportunity” in Bitcoin. He also shared that the US is ready to implement its Bitcoin policies under Donald Trump.