Digital Euro Association Blog

The voice for the digital euro: The Digital Euro Association

Apr 28, 2021 2:52:13 PM / by Manuel Klein, Jonas Groß, Philipp Sandner posted in CBDCs, Crypto, Central Bank Digital Currency

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Recently, the Digital Euro Association, a thinktank around the digitization of money, was launched to help shaping the discussion around the digitization of money — especially in the Euro area — to stimulate public discourse and act as a unified voice on digital money. In this article, we discuss current initiatives around the digitization of money and outline how the Digital Euro Association fits into this discussion.

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Will geopolitics accelerate cryptocurrency and smart Central Bank Digital Currency?

Jan 25, 2021 3:05:57 PM / by Lasse Meholm posted in Central Bank Digital Currency

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Introduction of central bank digital and smart currency is just as much a political, macroeconomically and financial stability issue than a technology issue.

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A Global Digital Currency to rule them all? A Monetary-financial View of the Facebook's Libra for the Euro Area

Jan 12, 2021 7:47:41 PM / by David Tercero-Lucas posted in Diem, Central Bank Digital Currency

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In this paper, the monetary-financial implications of two versions of Libra are analysed, i.e. Libra 1.0 and Libra 2.0. First, I briefly discuss how technological developments in monetary history have reshaped the payments landscape and how Libra is going to challenge the current bank-based ecosystem. Second, I identify some risks stemming from the current monetary-financial system and I review the Euro Area's regulatory framework to control these risks. Third, I assess how a wide acceptability of Libra's 1.0 and 2.0 could challenge the current monetary-financial structure and therefore the risks associated. Finally, I propose a Synthetic CBDC issuance, i.e., a narrow banking approach, to limit the new risk associated with the introduction of Libra 2.0.

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