ECB President: “Digital Euro Will Not Replace Cash”

European Central Bank Governor Christine Lagarde said the digital euro could complement, not replace, cash.

Speaking at an online meeting of the Parliamentary Assembly on September 21, she said that the ECB is still exploring the possible benefits, risks and mechanisms associated with the launch of a digital currency. Adding that fiat will continue to exist and fulfill its role.

According to Lagarde, the digital euro can become an alternative to private stablecoins, guaranteeing the sovereignty of money in European payment systems..

ECB President: 'Digital Euro Will Not Replace Cash'

So far, the European Union is only considering the prospects for issuing its own CBDC, but the results of the discussion should be announced in the coming weeks. However, even in the event of a negative decision on the ECB’s digital currency, by 2024 the European Commission will develop a comprehensive governance structure that allows for the integration of crypto assets into the financial sector..

text: Ivan Malichenko, photo: Niemcy

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