In brief: New milestone for the Digital Euro

In the context of these work to develop its innovative market infrastructure, European Central Bank has announced its intention to expand its Central Bank Digital Currency (CNBM) initiative. In this way, the Eurosystem is stepping up its efforts to develop an interoperable solution with existing infrastructures and to explore an offer based on distributed registry technologies, or DLT (Distributed Ledger Technology).

Distributed Ledger Technology (DLT) is presented as a technology to store and share data in a decentralized manner among several participants without the need for a central authority. The blockchain thus represents a specific form of DLT.

In addition to its stated ambition to implement a platform dedicated to MNBC settlements through a interoperability link with TARGET services (a set of market infrastructure services for the settlement of payments, securities and euro guarantees managed by the Eurosystem), the ECB has also recently formalized its study of the DLT.

This is the second time in just a few months that the ECB precise its progress on this digital Euro project. In December, it addressed updating its regulation and examining the expectations of consumers, retailers and payment service providers.

Projects and losses

This announcement takes place on the margins of Officialization of major losses recorded by the ECB for the year 2024 amounting to EUR 7.9 billion. The European Central Bank has thus suffered the direct impact of its policy to raise its rates in order to maintain price stability.

It assumes possible losses for the coming years, but better horizons for the future.

Traduit automatiquement via Libretranslate / Automatically translated via Libretranslate