The European Central Bank (ECB) wants to make more and better efforts in the field of digital currency. They are ambitious because Lagarde has stated that it wants to lead the way when it comes to stablecoins. Special, because she said this during her first major press conference.
Watch again: Lagarde on digital currencies pic.twitter.com/L2HSjVZ2BD
– European Central Bank (@ecb) December 12, 2019
Lagarde emphasizes the increased attention of fellow central banks from Canada, Great Britain and other countries in digital currencies. She urges the ECB to take the lead in the development of stablecoins. In its view, the ECB intends to set clear targets for the digital currency task force for central banks, or CBDCs, by mid-2020.
No bitcoin, but stablecoins
“My personal belief is that, given the developments, not so much with bitcoin but with stablecoin projects, and we know only one at the moment, but there are currently others under investigation and moving,” said Lagarde. “We can better anticipate the curve if that happens. Because there is a clear question to which we must respond. “
With stablecoins, Lagarde is referring to digital currencies that are always worth as much as a specific fiat currency. In this case you can start from the euro.
Digital or not
It has been discussed for some time whether the ECB should issue its own digital currency or not. The predicted benefits of having your own digital euro is that regular citizens and businesses can also enjoy a cheap and easy way to make payments. But there has been a lot of resistance from EU authorities.
Earlier this month, EU financial ministers confirmed their position. They are against private digital currencies and stated that global stable currencies should not be used until all legal, regulatory and supervisory risks are properly addressed.
The former president of the ECB, Jean-Claude Trichet, expressed his dissatisfaction with bitcoin at a conference in Beijing last month. He said: “I am strong against bitcoin and I think we are a bit complacent … The currency itself is not real, with the characteristics that a currency must have.”