The European Central Bank (ECB) has said that the transition to a national digital currency will reduce risks to the financial systеm. According to a working paper aimed at identifying issues and reaching consensus on a state-owned cryptocurrency (CBDC), the introduction of a CB digital currency appears to be “the only solution” that guarantees a “smooth continuation” of the current monetary systеm.
“The introduction of CBDC is the only solution to ensure the current monetary systеm continues smoothly as physical money loses its economic viability and cryptocurrencies large digital platforms continue to fill the market,” the document says. The ECB noted that interest in the “economics of money and payments” has increased dramatically over the past 15 years and has gone beyond the narrow academic circle. Therefore, society needs to provide such a tool as the digital currency of the Central Bank, while solving all privacy problems.
“While consumers place a high value on privacy in surveys, in practice they tend to give away their data for free or in exchange for a very small reward,” the statement said.
The authors identify privacy as an area that needs more research, as do end-user preferences for developing CBR digital currency features. The document also dismisses concerns that central bank digital currencies could lead to a reduction in the loan offer. Earlier this month, the main European financial regulator compared the central bank’s digital currencies to bitcoin, saying that the calculations in the latter are too complicated and costly.
Source: https://bits.media/etsb-vidit-v-gosudarstvennoy-tsifrovoy-valyute-edinstvennuyu-alternativu-dengam/
