The European Central Bank has announced the creation of a digital Euro

A report on the commencement of action to introduce digital Euro (€) has appeared on the website of the European Central Bank. It is the second institution of this type, after the People's Bank of China, that intends to take on such a challenge.

China was working on the digital currency in 2017. In April 2020, tests began in 4 cities: Shenzhen, Suzhou, Xiong'an and Chengdu.
Many people imagine this invention as a simple database where addresses are assigned specific amounts of money. In the case of €, a special "blockchain" will be introduced, which will be centralized and controllable by this institution. The conclusion is simple, the bank will be able to completely adjust the amount of currency in circulation by adding it and possibly removing it from citizens' accounts.

And here is their interesting report

'The pandemic can be considered to fall under the [making payment service more difficult] scenario, for example due to social distancing obligations which may change consumers' payment habits. Consumers may even view cash as a source of infection despite the lack of evidence of any specific infection risk associated with the use of banknotes. They are becoming less inclined to use cash and more inclined to use contactless and online payments. "

“The digital euro should not be meant to replace cash, but should only be a complementary form of payment. It would be up to Europeans to decide if they would use the digital euro instead of cash payments."

And one more quote

“Crypto-assets are fundamentally different from central bank money: their prices are volatile because they have no intrinsic value and there is no credible backing them up. People using the digital euro would have the same level of confidence as they would with cash as they are both backed by a central bank, which cryptocurrencies like stablecoins cannot provide."

The first experiments and consultations are scheduled for October 12. They will definitely try to gain the trust of the widest possible community. Of course, they will try to publish all the necessary information on a regular basis.

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