Europe’s Monetary Policy Crossroads: The Need for Bitcoin-Native Institutions
Europe is at a critical juncture in its monetary policy, having established the world’s most advanced regulations for digital assets, yet lagging behind in the adoption of crypto-native institutions. Despite its reputation for financial prudence, Europe lacks the world’s most transparent and resilient monetary asset, not due to a lack of rules, but rather a lack of conviction. According to a report, European households hold 34% of their wealth in deposits and cash, compared to 14% in the US, indicating a preference for safety over growth.
This cautious approach has resulted in European investors falling behind their US counterparts in Bitcoin adoption. However, this structural conservatism could become Europe’s Achilles heel, as Bitcoin rewards belief, ownership, and productive use of capital, rather than passive saving. To remain globally competitive, Europe must evolve from a saver mindset to a builder mindset, focusing on building institutions that embody the assets that will reshape the next financial age.
The Rise of Bitcoin Companies
Owning Bitcoin is the first step towards financial sovereignty, but the next step is to build companies that work according to the Bitcoin standard. These institutions view Bitcoin not only as an asset to be traded but also as working capital, security, and strategic reserve. The advantage of a Bitcoin treasury company is the ability to convert treasury BTC into securities, such as stocks, preferred stocks, fixed-rate notes, and convertible bonds. This securitization allows different types of investors to participate in Bitcoin’s economy through compliant instruments that meet their mandates and restrictions.
Europe is uniquely positioned to create a Bitcoin-native financial infrastructure through companies that embody transparency and accountability. With its regulatory clarity and tradition of institutional rigor, the continent can build institutions that use Bitcoin as working capital, security, and strategic reserve, creating compliant, transparent financial structures that outperform traditional fiat benchmarks.
Europe’s Structural Blind Spot
The challenge for Europe is not regulatory ambiguity, but rather psychological inertia. While regulating markets for crypto assets provides legal certainty, institutions remain cautious, constrained by outdated risk frameworks and ESG optics that misunderstand Bitcoin’s long-term profile. Companies in the US, Asia, and the Middle East are integrating Bitcoin directly into their treasuries and balance sheets, turning their belief into a competitive advantage. Europe risks watching this monetary policy shift from the sidelines, repeating the historical pattern of inventing the framework but outsourcing the implementation.
According to data, Bitcoin’s 90-day volatility has fallen below that of several major S&P 500 stocks, including Tesla and Meta, indicating a maturing, liquid global asset with institutional depth. If managed carefully, Bitcoin can serve as a strategic diversifier and long-term store of value, strengthening rather than destabilizing balance sheets.
Building Bitcoin-Native Institutions
True Bitcoin-native institutions don’t just buy Bitcoin, they embody its principles. They have verifiable reserves, segregated custody, and manage volatility with long-term discipline. Their accounting, governance, and capital structures reflect the integrity of the asset on which they rely. Properly designed, these institutions reduce Europe’s dependence on dollar-denominated infrastructure and strengthen its financial sovereignty.
Europe should not imitate American speculation or Asian speed, but rather reflect its own values: governance, transparency, and endurance. The European Bitcoin institution is defined not by hype but by structure: by capital discipline, verifiable reserves, and credible management. This model can combine the intellectual rigor of Europe with the monetary purity of Bitcoin, building a new class of entities measured by Bitcoin and anchored in integrity.
As Jad Comair, CEO of Melanion Capital, notes, “Bitcoin is no longer an experiment; it is a financial infrastructure. The next generation of European institutions will not only retain power; they will measure themselves against it.” With its unique position and values, Europe can build a Bitcoin-native financial infrastructure that sets a new standard for transparency, accountability, and resilience.
Read more about the need for Bitcoin-native institutions in Europe at https://crypto.news/europe-needs-more-bitcoin-native-institutions-opinion/
Yad Comair is CEO of Melanion Capital, a company he founded in 2013 to pursue his vision of integrating cutting-edge technology into traditional financial markets. Jad founded Melanion Capital after a distinguished career in traditional finance at Société Générale, where he was instrumental in founding the first alternative manager specializing in a new asset class: dividend futures.
