European central banks could stockpile Bitcoin in 2025: expert

European central banks could start to accumulate bitcoin in 2025, according to the blockchain expert, Fiorenzo Manganiello.

The prediction follows the deployment of the EU Crypto-active markets Rules, which aims to stabilize the cryptography market by introducing clear legal frameworks.

Manganiello, co-founder of Lian Group and professor at Geneva of Geneva, maintains that Mica’s regulatory clarity will encourage institutional investors to enter the market, reducing volatility and legitimizing bitcoin (BTC) As a financial actor, according to a shared note with Crypto.News.

He thinks that this change could extend to central banks, which can start to hold bitcoin as a cover against traditional market instability.

“Frankly, Bitcoin becomes too dominant to ignore, and this year, I think we will see certain European central banks start to build their currency reserves in order to diversify their assets and strengthen their defenses against traditional market volatility. There is no doubt that the rules of mica will breathe new life into the stage of European cryptography. Even the most traditional financial institutions, such as central banks, will be inaugurated on board. »»

Fiorenzo Manganiello

Mica affect

The European Union has introduced the Crypto-active markets Executive at the end of 2024, establishing a coherent regulatory framework for cryptographic industry in its Member States.

This initiative started on April 20, 2023, when the EU parliament has passed Mica To meet persistent challenges in the rapidly evolving cryptography sector, such as fraud, market volatility and inadequate investor protection.

Before mica, cryptographic companies have sailed in a complex landscape of variable national regulations. While some nations have favored innovation, others have imposed significant obstacles. Mica aims to replace this approach fragmented by a unified set of rules for the 27 EU countries.

“While Mica reassures traditional investors, we will see not only institutions, but even central banks that envisage Bitcoin,” said Manganiello.

If European central banks follow, this would signal a major change in the role of Bitcoin within the global financial system.