France Proposes CBDC Ban, Embraces Stablecoins and Bitcoin
French MP Éric Ciotti has proposed a CBDC ban on the ECB-led digital euro. Instead, the motion promotes euro-pegged stablecoins and broader crypto investment, citing the US GENIUS Act.
The resolution urges the EU to deviate from Basel III prudential standards. It calls for new rules to accept crypto as collateral and to enable staking. Ciotti also proposes that France hold 2% of Bitcoin’s supply (around 420,000 BTC, worth $48 billion) in strategic reserves.
Supporters argue that stablecoins and a Bitcoin reserve will strengthen financial sovereignty. Critics warn a CBDC ban could hinder innovation and privacy. If passed, the proposal could boost stablecoin volumes and institutional Bitcoin participation across Europe, signaling a significant shift in crypto regulation.
Bullish
By proposing a CBDC ban and allocating 2% of Bitcoin’s supply to strategic reserves, the French motion increases anticipated institutional demand. In the short term, this could trigger speculative buying and higher trading volumes for BTC and euro-pegged stablecoins. Over the longer term, formal regulatory support for Bitcoin and stablecoins would boost market confidence, liquidity, and adoption, underpinning sustained price growth.