There is an interesting update from the European Central Bank (ECB) on a timeline and progress on the Digital Euro project, the central bank digital currency (CBDC).
The ECB reports that the preparation phase of the project started in November 2023, laying the foundations for the potential issuance of a digital euro.
“This includes finalising the digital euro scheme rulebook and selecting providers that could potentially develop a digital euro platform and infrastructure. The preparation phase involves extensive testing and experimentation, as well as regular exchanges with the public and other stakeholders, to ensure that a digital euro would meet user needs and the Eurosystem’s requirements,” writes the ECB.
It goes onto give detail under headings such as Privacy by Design, a seamless payment experience across Europe, and designing the digital euro.
It provieds details such as how privacy and data protection are an integral part of the digital euro. “The digital euro would be designed with state-of-the-art privacy measures. With its offline functionality, it would offer a level of privacy close to cash.”
“A digital euro would be the first public, European digital means of payment. It would rely on a digital euro rulebook: a single set of rules, standards and procedures to ensure digital euro payments work in the same way across the entire euro area.”
“We are working to ensure a digital euro meets user needs for online and offline payments. We have been looking into the implications of the number of digital euro accounts permitted per user, holding limits for these accounts, a digital euro app and many other facets,” writes ECB.
