EU finance chief says digital euro bill coming in early 2023

0
171

The European Commission (EC) has announced that a digital euro bill will be proposed in 2023.

As first reported by Politico, the European Commission’s CFO Mered McGuinness officially unveiled the EU’s official study on digital euro legislation at a fintech conference on Wednesday.

“Our goal is to introduce legislation in early 2023 with targeted legislative recommendations in the coming weeks,” the Financial Services Commissioner said.

The European Central Bank (ECB) is already experimenting with digital euro designs and systems, with a prototype expected sometime in late 2023. If the digital euro is implemented, it will require an approval stamp from eurozone governors. If they give the green light, the digital euro may be ready for release by 2025.

The digital euro is a central bank’s digital currency (CBDC) – a financial instrument that central banks around the world take very seriously. The growing interest in cryptocurrencies is due to the growing fear that local currencies will eventually be undermined by the growing popularity of cryptocurrencies.

“If we do not meet this requirement, others will,” said Fabio Panetta, a member of the ECB’s Executive Board, in mid-November, calling for the introduction of a digital euro.

Last year, the European Central Bank conducted a study and published a report on digital currencies. It has been shown that the digital euro can help lower interest rates, speed up transaction processes and reduce the use of cash.

Aside from their alleged advantages, central banks are facing an uphill battle to win over the public. A study by the UK Economic Affairs Committee and the Bundesbank shows that a majority of respondents oppose state-supported digital currencies, citing doubts about the benefits and fears of government surveillance.

Related: The IMF recommends CBDC and global cryptocurrency standards for financial stability

However, official interest in digital currencies from central banks around the world has skyrocketed since Kenya’s central bank recently urged public opinion on the digital shilling, and Thailand has already begun implementing digital central bank currency regulations in detail in the future. The Central Bank of the Bahamas was one of the first to introduce a digital central bank currency, the sand dollar, in October 2020.

However, China retains a first-time advantage in the world of digital currencies. The country has surpassed the international community through continuous and significant leaps forward within the CBD.

Source: CoinTelegraph

LEAVE A REPLY

Please enter your comment!
Please enter your name here