France’s centre-right UDR party, led by Éric Ciotti, has introduced a groundbreaking proposal to create a national Bitcoin Strategic Reserve. The bill is France’s first major effort to integrate cryptocurrency and strengthen financial sovereignty through digital assets.

Under the plan, France would gradually acquire up to 2% of Bitcoin’s total supply- around 420,000 BTC- over seven to eight years. A new Public Administrative Establishment would oversee the reserve, mirroring the management of France’s gold and foreign currency holdings.

The proposal seeks to use surplus renewable and nuclear energy for Bitcoin mining to create economic value. The state would keep seized crypto and use national savings funds for daily Bitcoin purchases, potentially adding about 55,000 BTC yearly.

Beyond Bitcoin, the bill promotes euro-denominated stablecoins for everyday payments and rejects a European Central Bank-controlled digital euro, citing privacy concerns. It proposes tax exemptions for small transactions under €200 and allows certain taxes to be paid in Bitcoin or euro stablecoins.

Despite its ambition, the UDR’s limited representation in Parliament may slow progress on the proposal.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!