On June 3, 2025, Geert Wilders, leader of the far-right Party for Freedom (PVV) in the Netherlands, announced the party's withdrawal from the coalition government, primarily due to disagreements over immigration policy, which raises the possibility of early elections.

The collapse of the coalition was triggered by Wilders' demands for ten additional asylum measures, including freezing applications and halting the construction of reception centers, which coalition partners deemed unreasonable.

Political analyst Siebo Janssen suggests that Wilders' departure may be a tactical move to regain popularity as his party's poll numbers have declined from their previous electoral success.

Despite the PVV's initial electoral success in November 2023, recent polls indicate a drop in support to around 20%, reflecting a shift in public interest towards issues like the Ukraine war and economic concerns.

Coalition leaders are currently engaged in urgent discussions to reach a compromise before facing a critical deadline, as the political landscape becomes increasingly chaotic.

The instability within the coalition has raised concerns about political uncertainty in Europe, contributing to a 1.2% decline in the AEX Index on the same day.

Major companies such as ASML and ING Groep reported stock drops during early trading hours, reflecting the market's reaction to the political crisis.

Wilders' approach mirrors a broader trend of right-wing populism in Europe, attracting attention from allies and reflecting a common pattern of instilling fear and blaming others for chaos.

With the PVV's exit, the remaining coalition parties may continue as a minority government, although this scenario is viewed as unlikely given the loss of parliamentary majority.

The political turmoil has affected crypto traders, as risk-averse behavior typically influences both traditional and digital asset markets, with analysts predicting potential pressure on crypto prices.

This situation serves as a cautionary tale for Europe, highlighting the risks of allowing populist leaders like Wilders to assume governmental responsibilities, as political tensions continue to rise.