Declining the Digital Euro: It Threatens Totalitarianism
A member of the European Parliament, Sarah Knafo, has asked the European Union to discard plans regarding a digital euro, a proposed central bank digital currency that is now under consideration by the European Central Bank. Instead, she’s advocating for a strategic reserve in Bitcoin as a better strategy for defending financial independence from government overreach.
In a speech before the European Parliament, Knafo decried the digital euro as a means of centralized control that would enable European authorities to restrict transactions or cut people off from the banking system. She contrasted the decentralized nature of Bitcoin, which presents a solution to such risks.
We don’t want this dystopian world in which a European bureaucrat can ban some transactions or kick us out of the banking system at the click of a mouse”, Knafo said.
Comparing Global Crypto Approaches
Knafo also juxtaposed them regulatory direction with that of other global players: “While El Salvador’s adoption of Bitcoin as legal Tender in 2021 was hailed as a model, crypto-friendly signals are emerging from the United States, where Federal Reserve Chair Jerome Powell referred to Bitcoin as “digital gold.
The MP criticized Europe’s preoccupation with taxation and stifling crypto innovation. “It is time to protect our people from inflation and the poor economic choices of our states,” she said. Knafo argued that excessive regulation risks limiting them competitiveness in the growing digital economy.
ECB’s Path to a Digital Euro
The ECB began the idea of a digital euro in 2020, but it has been a subject of debate on privacy and economic implications. A final decision will be reached by October 2025. Knafo’s opposition adds to growing skepticism from lawmakers and financial experts who view CBDCs as a threat to personal freedom.
European authorities remain divided, with some raising alarms about the surveillance risks of CBDCs.
A Strategic Bitcoin Reserve for Freedom
Knafo’s proposal for a Bitcoin reserve reflects a wider push for decentralised financial systems. In not wanting to resort to the use of one centralized digital currency, Knafo called on the EU to “bet on freedom” and adopt Bitcoin for the protection of citizens against economic mismanagement and inflation.
Her call signals growing resistance to centralized financial systems and to embrace Bitcoin as Europe’s answer to the digital euro.
