ECB president Christine Lagarde ‘confident’ bitcoin will not enter EU central bank reserves
2025-01-30
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European Central Bank (ECB) president Christine Lagarde said bitcoin is not an option for the eurozone’s central bank reserves, citing concerns over liquidity, security and regulatory scrutiny.
Speaking at the official press conference following the ECB’s latest 25-basis-point interest rate cut on Thursday—the fifth such cut since the central bank began easing monetary policy in June 2024. The reduction brings the ECB's deposit facility, its key rate, to 2.75%.
"There is a view around the table of the Governing Council and most likely the General Council as well that reserves have to be liquid, that reserves have to be secure, that they have to be safe, that they should not be plagued by the suspicion of money laundering or other criminal activities," Lagarde said, emphasizing the consensus among policymakers. "And as a result, I’m confident that bitcoin will not enter the reserves of any of the central banks of the General Council."
Lagarde’s position on bitcoin and global regulation
While Lagarde’s latest comments focus on bitcoin’s suitability as a reserve asset, they come amid a growing global debate about bitcoin’s role in national treasuries. In January 2021, Lagarde vocalized her view that bitcoin is “highly speculative” and requires strong global regulation to address financial crime risks.
At the Reuters Next conference, Lagarde said bitcoin has conducted "some funny business and some interesting and totally reprehensible money laundering activity."
In the past 24 hours, the price of the bitcoin increased by 3%, trading around the $105,000 mark at press time, according to The Block's Price Page.
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