European Central Bank: Central bank digital currency will be issued without efficient pan-European payment solution

The European Central Bank is considering issuing digital currencies across Europe to establish an efficient payment system.

An internal document obtained by Bloomberg on Wednesday showed that the European Central Bank believes that technological innovation is rapidly changing the way retail payments are made, including reduced cash usage. The European Central Bank is currently analyzing the situation and is prepared to respond when needed.

The document states, "If the industry is unable to develop innovative and efficient pan-European payment solutions, it is possible to meet the needs of society by issuing a central bank digital currency. A central bank digital currency with legal status can in principle guarantee that all users can use Cheap and convenient payment methods. "

The document also states that if the use of cash falls, the central bank's digital currency can also ensure that the public can still use the currency issued by the central bank. However, cash remains a popular payment method throughout the euro area. Future declines in cash use may accelerate central bank efforts in central bank digital currency.

The European Central Bank believes that the specific design of the central bank's digital currency may have a profound impact on the financial system, so it needs to be carefully evaluated. Central bank digital currencies may change the way monetary policy is implemented and passed to the real economy. It may also affect the role of banking, credit intermediation and bank financing. Therefore, the function of the central bank's digital currency and its impact on the economy and finance deserve further analysis.

On this basis, the European Central Bank will continue to analyze the central bank's digital currency with a view to exploring how new technologies can benefit the European people and can take action if necessary in the future. However, the central bank will not prevent or exclude solutions that are dominated by private markets to enable fast payments in the euro area.

Author Xiu MU

We will continue to update Blocking; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Opinion

Former close friend to testify against SBF, list of other witnesses revealed.

SBF's trial started on October 2nd, and his once closest friends will testify in court, becoming his biggest threat. ...

Blockchain

Why did the mining pool business become the "sweet bun" of the exchange?

The three major domestic institutes are all involved in the mining pool business. As an exchange, how to use its own ...

News

Exclusive speech by Li Xiaojia, the Hong Kong Stock Exchange: In the 5G era, technologies such as blockchain will give birth to new exchanges and trading models.

On March 31, Li Xiaojia, Chief Executive Officer of the Hong Kong Stock Exchange Group, delivered a speech entitled &...

Blockchain

The Bitcoin exchange is very hot, but the soil of the economics is very thin.

According to the coinmarketcap market data, the trading volume of Bitcoin in the past month exceeded the intra-month ...

Blockchain

Bybit Airdrop Gifts are available for a limited time! Teach you how to receive 1632 USDT in 10 minutes!

Bybit, this is a professional derivatives exchange with nearly 70% overseas users, with a daily trading volume of mor...

Blockchain

Interpretation | FCoin Shutdown: A Quick Look at the Exchange's Death Stance

The content of today's interpretation is mainly divided into three aspects: The first aspect is the beginning an...