Emerging Vision for Bitcoin as a National Strategic Reserve
France’s political landscape has recently experienced a surge in crypto momentum. On October 28, Éric Ciotti, leader of the right-wing “Union of the Right Republic” (UDR) and Member of Parliament, submitted a proposal to the National Assembly that has sparked widespread debate. He advocates for establishing a public institution dedicated to France’s Bitcoin strategic reserve, with a plan to acquire approximately 420,000 Bitcoins—about 2% of the global supply—over the next 7 to 8 years, formally designating Bitcoin as digital gold.
(Source: CryptoastMedia)
The core principle of this proposal is clear: France should not stand on the sidelines of the digital currency revolution. By adopting Bitcoin as a sovereign reserve asset, France aims to strengthen the independence of its national finances and counteract both inflation and the long-standing dominance of the US dollar.
Three-Pronged Funding Approach
To avoid tapping into the national budget, the bill outlines three flexible funding mechanisms to ensure Bitcoin purchases do not impact public expenditures.
- Public Mining Initiative
France will leverage surplus electricity from nuclear and hydroelectric sources to mine Bitcoin, establishing a low-cost, sustainable, and environmentally friendly national mining infrastructure. - Judicial Asset Seizure and Reinvestment
The government will retain Bitcoins seized through judicial proceedings, converting criminal assets into national wealth. - National Savings Allocation Mechanism
The proposal recommends allocating one-quarter of funds from popular national savings accounts to purchase Bitcoin, enabling daily acquisitions of €15 million and establishing a stable, long-term buying cadence.
Additionally, the proposal invites discussion on the possibility of paying taxes with Bitcoin. While subject to constitutional review, this move carries significant symbolic weight, signaling France’s sovereign financial system’s potential acceptance of digital assets.
Policy Expansion: Rejecting CBDC, Embracing Euro Stablecoins
Beyond the national reserve initiative, Ciotti’s proposal explicitly opposes the European Central Bank’s digital euro (CBDC), arguing that it could infringe on citizens’ privacy and monetary autonomy. He calls for legislation to prohibit its rollout.
In contrast, Ciotti supports the development of market-driven Euro Stablecoins, empowering European businesses to issue euro-denominated stablecoins independently. This shift aims to replace the current dominance of USD stablecoins and boost the euro’s competitiveness in digital finance.
Streamlined Registration and Tax Incentives
Another key focus of the proposal is fostering a more favorable environment for France’s domestic crypto industry. Ciotti advocates for:
- Simplifying the registration process for crypto companies to lower barriers for startups;
- Reducing transaction taxes to enhance market liquidity;
- Providing tax exemptions for miners to encourage the growth of local mining operations.
These measures are designed to attract more Web3 and blockchain businesses to France, further strengthening the country’s position within Europe’s digital economy.
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Conclusion
If enacted, this bill would make France the first major economy to include Bitcoin in its national strategic reserve—potentially reshaping Europe’s policy approach to crypto assets and marking a pivotal step in the integration of traditional finance with digital assets. While Éric Ciotti’s proposal awaits further debate and revision, it has already ignited thoughtful discussion in France and around the world about whether nations should embrace Bitcoin.
