Germany Bundestag Set to Review Bitcoin Motion Against MiCA Framework
Germany’s parliament prepares to debate a controversial proposal that could reshape how the nation treats Bitcoin. The German Bundestag is scheduled to review a motion filed by the Alternative for Germany (AfD) party that urges the government to recognize Bitcoin as a unique digital asset. This development signals a potential shift in Europe’s regulatory approach to cryptocurrency.
Bitcoin Motion Challenges European MiCA Regulations
The AfD’s proposal, titled “Recognizing the strategic potential of Bitcoin — preserving freedom through restraint in taxation and regulation,” argues that Bitcoin is fundamentally distinct from other crypto assets. The motion contends that existing European frameworks fail to account for Bitcoin’s unique characteristics.
The party argues that the EU’s MiCA framework was designed for centrally issued tokens, which do not apply to Bitcoin, which lacks an issuer or central authority. Bitcoin’s decentralized structure sets it apart, making it more comparable to digital gold than speculative tokens.
The parliamentary group warns of serious consequences. Overregulation of Bitcoin service providers and users through national MiCA implementation jeopardizes Germany’s innovative capacity, financial freedom, and digital sovereignty. Excessive regulation could drive companies and capital to more favorable jurisdictions abroad.
German Bundestag Bitcoin Motion Seeks Tax Clarity
The motion includes specific policy recommendations. The group advocates for maintaining the current 12-month holding period for tax-exempt gains, keeping Bitcoin’s VAT exemption, and ensuring the right to self-custody for individuals. These measures aim to provide legal certainty for Bitcoin users and service providers.
The AfD also criticized the German government for not recognizing Bitcoin’s strategic potential, noting that Berlin has not considered holding Bitcoin as part of its national reserves. The party frames Bitcoin as a hedge against monetary instability and inflation.
Germany’s relationship with Bitcoin has been complicated. In mid-2024, the government sold nearly 50,000 BTC seized from criminal cases for around $2.9 billion. By August 2025, the price of Bitcoin had more than doubled, meaning the holdings would now be worth over $6 billion, a missed gain of more than $3 billion. This decision now faces widespread criticism.
Germany Bundestag Bitcoin Motion Reflects Broader European Debate
Germany isn’t alone in questioning MiCA’s approach. On Oct. 22, Éric Ciotti of the Union of the Right for the Republic led a similar motion in France, urging the government to soften the MiCA regulation to promote stablecoins while banning central bank digital currencies. These parallel efforts suggest growing resistance to one-size-fits-all crypto regulation.
Germany has been one of Europe’s most crypto-friendly jurisdictions, combining national rules with the new EU-wide MiCA framework. Since MiCA took effect in December 2024, BaFin has been responsible for licensing crypto custodians, trading platforms, and exchanges under the EU’s harmonized system. A transition period continues until December 30, 2025.
Chainalysis data shows Germany recorded $219 billion in crypto transaction volume between July 2024 and June 2025, placing it among Europe’s largest markets. This demonstrates the country’s significant stake in cryptocurrency adoption.
Bundestag member Joana Cotar argues that Bitcoin represents financial sovereignty for individuals, offering protection against inflation and government overreach. Such perspectives highlight the philosophical tensions underlying the regulatory debate.
Bitcoin Motion Faces Political Hurdles in Germany
The motion confronts significant obstacles. The AfD remains an opposition party without majority support in the Bundestag. Political analysts suggest the proposal may struggle to advance through formal legislative channels without broader coalition backing.
However, the motion succeeds in elevating Bitcoin policy to parliamentary discourse. It forces established parties to articulate their stand on digital asset regulation and sovereignty. The debate could influence Germany’s implementation of MiCA and shape long-term crypto policy.
The outcome will resonate beyond German borders. As Europe’s largest economy, Germany’s approach to Bitcoin regulation influences EU-wide standards. A decision to exempt Bitcoin from certain MiCA provisions could encourage similar moves across member states.
Conclusion
The Bundestag’s upcoming review represents a critical moment for cryptocurrency policy in Europe. The motion challenges conventional regulatory thinking by positioning Bitcoin as a strategic asset requiring special treatment. Whether the proposal gains traction remains uncertain, but it has already succeeded in sparking necessary conversations about innovation, sovereignty, and regulatory proportionality.
