ECB will make the decision on releasing a digital euro early next year, Christine Lagarde says
Christine Lagarde, President of the European Central Bank (ECB) said on a virtual panel Thursday that the bank should reach a decision on releasing a digital euro in January 2021.
“At that point in time we will make the decision as to whether or not we go forward with the digital euro. My hunch — but this is a decision that will be taken collectively — is that we might well go in that direction.” Christine Lagarde said.
The ECB president said a digital euro would take extensive time to develop, including not just the underlying technology but anti-money-laundering controls and prevention of terrorism financing. She noted that China’s central bank has been working on a digital version of its yuan for several years.
“This is a project that will probably take us two, three, four years before it is launched.” Lagarde said Thursday.
As AZCoin News reported, the ECB recently opened a public consultation to get feedback from users on what they expect from a digital euro.
Back in January, Lagarde expressed her desire to play an active role in the digitalization of payments: “We are looking into the feasibility and merits of a central bank digital currency that would ensure that people can continue to use central bank money even if the use of physical cash eventually declines.”
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