Germany Weighs Support for Anti-Crypto Economist in ECB Presidency Bid

Discussions are underway in Berlin to determine whether Germany will support Joachim Nagel, the current president of the Bundesbank, for a potential bid to succeed European Central Bank (ECB) President Christine Lagarde. If Lagarde were to resign early, Nagel's chances would be slim, but the backing of the German government could propel him in the race.

Nagel has expressed skepticism towards cryptocurrencies, comparing their rise to the tulip mania of the 17th century and stating that Bitcoin is 'none of' the qualities required for a reserve asset. He opposes using Bitcoin as a reserve asset, citing its lack of security, liquidity, and transparency.

Finance Minister Lars Klingbeil would back Nagel's bid, but Conservative Chancellor Friedrich Merz has not publicly supported him. Pablo Hernández de Cos, former Governor of the Bank of Spain and current General Manager of the Bank for International Settlements (BIS), is seen as a strong contender for the position.