News

EU could test the digital EUR in 2023

Friday 11 February 2022 14:52 CET | News

The European Commission has announced it is planning to propose a bill for a digital euro early in 2023.

The bill will serve as the legal foundation for the European Central Bank’s ongoing technical work on the virtual version of a euro banknote or coin. Providing reasoning for this step, ECB Executive Board member Fabio Panetta said: ‘If we don’t satisfy this demand, then others will do it’.

The ECB is currently carrying out in-house experiments with the digital euro and expects to start working on a prototype at the end of 2023. Eurozone governors will then decide whether minting a digital euro is worth the trouble. If they do, the virtual currency could be ready by 2025 — at the earliest. That timetable works fine for the EU’s legislative process. The bill will have to go through negotiations within EU capitals and Parliament before it can become law.

A public consultation is set to emerge from the EU’s executive arm in March 2022. The consultation won’t replicate the ECB’s call for comment from 2020, which found payment privacy was the top concern among respondents. The Commission’s questionnaire will instead focus on how the digital euro could be used, such as handling everyday payments.

More: Link


Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: European Commission, digital currency, CBDC, central bank, cryptocurrency
Categories: DeFi & Crypto & Web3
Companies: European Commission
Countries: Europe
This article is part of category

DeFi & Crypto & Web3

European Commission

|
Discover all the Company news on European Commission and other articles related to European Commission in The Paypers News, Reports, and insights on the payments and fintech industry: