The convincing victory of the "Alternative for Germany" (AfD) party in the state elections in Saxony-Anhalt, where it garnered 43.8% of the vote, once again brings to the forefront the question of Bitcoin's future in Europe's largest economy. This is not merely a local success — it is a powerful signal of the growing influence of a political force that openly advocates for recognizing the first cryptocurrency as an official reserve asset of the country.
Despite the party failing to secure an absolute majority in the state parliament (83 seats), its result was the best in its history at this level. Complex coalition negotiations lie ahead, yet at the federal level, the AfD is already confidently leading in polls, continuing to consistently advance its pro-cryptocurrency agenda.
AfD's Program: Deregulation and Bitcoin in Reserves
In its federal program, the AfD positions itself as the most consistent supporter of cryptocurrencies among major German parties. The key point is "broad deregulation" of Bitcoin, wallets, and trading in digital assets. The party believes that current regulators are overly cautious and create excessive barriers.
The most significant initiative was introduced in the Bundestag in October 2025. The AfD demanded that the government officially recognize Bitcoin as a strategic asset that could be included in the country's currency reserves in the event of monetary instability. According to party representatives, BTC is a full-fledged reserve instrument, not a speculative bubble.
Significantly, the AfD also opposes the digital euro — the European Central Bank's CBDC project. The party insists on constitutionally enshrining citizens' right to use cash, viewing the central bank's digital currency as a threat to financial freedom.
Criticism of MiCA and Tax Battles
AfD parliamentarians also consistently criticize the European MiCA regulation, arguing that it was created for tokens with centralized issuance and ignores the nature of decentralized assets like Bitcoin. This position is shared by the industry association Bitcoin Bundesverband, which monitors the development of crypto legislation in Germany.
Notably, the Bundestag's finance committee previously rejected the Greens' initiative to abolish the tax exemption on Bitcoin. The AfD, for its part, proposes maintaining the current rule on tax exemption for holding BTC for more than one year — a step that clearly encourages long-term accumulation.
The discussion about the scope of MiCA's application extends far beyond Germany. Poland, for example, has already failed three times to adopt its own regulatory regime consistent with pan-European standards, highlighting the difficulty of adapting unified rules to national realities.
Political Impasse and Prospects
However, even after electoral success, the AfD's crypto agenda faces the same obstacle as the party's entire program: Germany's leading political forces still refuse to form a coalition with it at the federal level. The lead candidate in Saxony-Anhalt, Ulrich Siegmund, stated that he would prefer new elections over "leading a minority government." The fate of the coalition in the region remains undecided.
My analysis: The AfD's growing influence is not just a political trend but an indicator of a deep shift in how the European establishment perceives Bitcoin. If the party can convert its electoral support into real legislative initiatives, Germany could become the next major economy after the United States to officially recognize BTC as a reserve asset. For the market, this would mean not only institutional approval but also a potential trigger for a new wave of state-level adoption of digital currencies across the EU.