Following tests, the European Central Bank concluded that it was possible tointegrate easily a e-euro in the existing payment landscape. The digital piece could, in principle, operate on line but also out of linee.
Since 2021, the ECB is experimenting with CBDCs or central bank digital currenciesand more specifically on a e-euro. In the autumn of 2022, the European institution teamed up with five companies, including Amazon, to develop interfaces for its potential CBDC.
And on Friday, the ECB published an account of these trials, confirming the feasibility of solutions and user interfaces for a digital euro.
It is possible to smoothly integrate a digital euro into the existing payments landscape, while leaving it to the market to use innovative functionalities and technologies when distributing a digital euro. The results also confirm that a digital euro could, in principle, operate both online and offline using different technical designs. The question remains whether an offline solution that meets the Eurosystem’s requirements and achieves the necessary scale can be provided in the short to medium term with existing technology,” reads the report.
While the ECB had hinted at the start of its work that an offline digital euro prototype could see the light of day in 2023, the Board of Governors will indicate to next autumn whether to launch a “preparatory phase to develop and test the digital euro”.
Last month, at the request of European Parliamenta researcher questioned the hypothesis of restrictions on European CBDC holdings. He questioned the value of a ceiling.
Today, more than 90% of the world’s central bankers are looking at CBDCaccording to the American think tank Atlantic Counsil.
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