ECB Adviser Warns Against Nation-State Bitcoin Reserves

An advisor to the European Central Bank (ECB) has restated the bank's negative view on Bitcoin as the US considers establishing a strategic Bitcoin reserve. ECB advisor Jürgen Schaaf expressed concerns about nation-state Bitcoin reserves, stating that there is no real economic necessity for Bitcoin due to its lack of relevant usage. Schaaf's stance is in line with ECB President Christine Lagarde's recent comments, where she expressed confidence that Bitcoin would not be included in European central bank reserves. Schaaf emphasized that adding Bitcoin to the ECB reserves would not stabilize the single currency but rather fuel speculation and wealth redistribution. He also rejected the idea of central banks holding multiple cryptocurrencies as reserve assets, citing the risks of increased volatility and exposure to speculative assets.