Bitcoin versus Digital Euro: the silence of Europe

European legislators have not yet responded to Donald Trumps executive order on the strategic reserve of Bitcoin, while the European Central Bank (ECB) continues its plans for the launch of the digital euro in 2025.

The announcement by the United States marks a shift in global economic policy, favoring those who have invested in Bitcoin (BTC) since the early stages.

However, Europe continues to maintain a critical position on cryptocurrency, remaining focused on its own centralized digital currency (CBDC).

Trumps Order on Bitcoin Reserve and the European Silence

On March 7, United States President Donald Trump signed a groundbreaking measure for the creation of a national strategic reserve of Bitcoin.

Instead of purchasing BTC from the market, the United States will accumulate cryptocurrency confiscated in the fight against crime.

Despite the importance of this decision, European legislators have not released official statements on the matter. The silence of the European Union raises questions about the possible integration of Bitcoin into the national reserves of member states.

According to Anastasija Plotnikova, CEO of Fideum, the creation of new national reserves is a long and complex process.

In many countries, the process requires a clear legislative path and the active support of central banks, factors that are currently lacking in the EU.

The ECB, furthermore, has historically taken a strongly critical stance towards Bitcoin as a store of value, limiting the possibilities for European countries to follow its adoption.

This closure could explain the lack of interest from EU governments towards the policy adopted by the United States.

While the United States moves towards Bitcoin, Europe continues to develop its digital euro, with the goal of launching it by October 2025.

According to James Wo, founder and CEO of DFG, the silence of the EU on the Bitcoin reserve is due to the priority given to the CBDC.

The ECB, led by Christine Lagarde, maintains a firm stance against the inclusion of Bitcoin in its reserves, focusing on centralized digital solutions.

However, recent issues in the infrastrutture di pagamento della BCE raise doubts about the entitys ability to manage a digital currency.

The Target 2 (T2) system, used for interbank transactions in Europe, has experienced disruptions with significant delays in operations. This episode has increased concerns about the ECBs reliability in managing a large-scale digital currency.

Christine Lagarde: “The Digital Euro will coexist with cash”

Despite the uncertainties, Christine Lagarde remains determined to stick to the roadmap for the launch of the digital euro in October 2025.

He assured that the new digital currency will not replace cash, but will coexist with it, addressing concerns about privacy and potential risks of government monitoring.

“The European Union aims to launch the digital euro by October of this year,” stated Lagarde, emphasizing the ECBs commitment to ensuring a pseudonymous and cash-like system.

The transition to CBDCs raises questions about the protection of personal data. Opponents fear that the digital euro could increase state control over transactions, introducing a more traceable system compared to traditional cash.

The differences in approach between the United States and Europe in the field of digital currencies are becoming increasingly evident.

While the EU develops a centralized system like the digital euro, Trump has openly declared his opposition to central bank digital currencies (CBDC), preferring the adoption of Bitcoin.

CBDCs are often promoted for their benefits in terms of financial inclusion, but they also raise criticisms for the excessive controls that governments might exercise over citizens.

An emblematic case is that of Brasile, where in 2023 the central bank published the source code of its own CBDC.

In a few days, mechanisms of surveillance and control have emerged, which would have allowed the bank to block or reduce users funds in digital wallets.

Bitcoin or Digital Euro: what will be the future of Europe？

The choice between Bitcoin as a strategic reserve and the implementation of the digital euro will mark the financial future of the European Union.

If the United States has embraced Bitcoin as a reserve, Europe remains loyal to centralized currencies, maintaining a critical stance towards decentralized cryptocurrencies.

With 2025 around the corner, the coming months will be crucial to understand if the EU will change its position or continue to focus exclusively on the digital euro project.