The proposal for a regulation aimed at introducing a digital euro should be presented on June 28. It will then have to undergo the examination of the European Parliament followed by that of the governments of the Member States of the Council of the European Union. First attributed to banks, the document suggests that the Commission make it accessible mainly to the general public, as a retail payment option.
One of the motivations behind the proposal is the desire to “reduce the fragmentation of the European retail payments market, promote competition” and “encourage industry initiatives to offer pan-European payment services”, according to the draft. of proposal. In other words, the creation of the digital euro is in a way a reaction to technological developments.
Today, the euro, ie the currency issued by the European Central Bank (ECB), only exists in one form: coins and banknotes. It should nevertheless be remembered that the money you hold in your bank account is not exactly of the same nature. Your bank guarantees your cash money. The real problem in our constantly advancing society is the decline in cash payment. Hence the interest, according to the European Commission, of giving birth to this digital euro.
In all likelihood, these digital euros will be able to be stored in existing banking applications. It is likely that banks, and more generally payment service providers, will be required to distribute these digital euros to their users free of charge, along with a set of basic services allowing them to be used.
The digital euro could bring a few more. However, the current range of payment methods seems incomparable. And yet, this novelty would make it possible to obtain universality of settlement. As Fabio Panetta, member of the Executive Board of the ECB, explains for MoneyVox, “there is currently no European digital payment method that is universally accepted in the euro zone”.
Before this project sees the light of day, the European Commission must agree on a common text with the European Council. The bill will therefore be examined in the coming months, until an agreement is reached. If the system were to be adopted before the end of 2023, the new instrument would become a reality only in 2026 or even in 2027, according to Le Figaro.