European Central Bank President Christine Lagarde said at the digital euro conference held by the European Central Bank and the European Commission on the 7th that the issuance of a digital euro will promote the expansion of payment innovation across the euro area, thereby strengthening Europe’s strategic autonomy.
Lagarde spoke at the meeting by video that day, saying that large foreign technology companies are playing an increasing role in European payment transactions, increasing the risk of the market relying on foreign payment technology. By designing a public digital currency, Europe can increase public trust in the monetary system and foster innovation.
According to reports, the European Central Bank will launch a digital euro project in July 2021 and conduct a two-year related investigation and research to determine the core characteristics of the digital euro.
Lagarde said that the euro area is at a relatively advanced stage in the study of central bank digital currency, and the current focus is on the specific design of the digital euro and its reasonable embedding in the legal framework. In addition, for a digital euro to be successful, it must also meet public demands for privacy.
