End of cash in Europe? Rather the digital euro than crypto – ECB

The European Central Bank (ECB) is working to stem the “crypto” phenomenon by launching its own digital euro. During the Money20/20 conference, Evelien Witlox, director of the digital euro at the ECB, expressed the institution's eagerness to see this electronic currency on the market, a solution deemed necessary in the face of the decrease in use. of cash and the rise of digital alternatives. The ECB wants to move forward cautiously, but with determination.

A digital euro (instead of crypto) to adapt to new habits

No, the European Central Bank has not yet changed its mind regarding bitcoin and other cryptocurrencies. According to a publication from Crypto.NewsEvelien Witlox, a well-known figure in this institution, took advantage of her speech at Money20/20 to paint a picture of the potential implications of a digital euro. Noting a notable decrease in the use of cash in Europe, she suggested thata digital euro could become essential.

According to her, ” only one in five transactions is still made in cash » in cities like Amsterdam, which pushes the ECB to seriously consider this monetary transformation. However, she insisted that although investment in the e-euro is very likely, it is not yet a decision set in stone.

The digital euro would be an electronic version of cash, retaining its legal tender status. This change would ensure that all merchants accepting digital payments must accept this new form of currency.

The initiative aims not only to modernize the payment systembut also to ensure more great economic security and an independence from foreign payment systems.

Witlox stressed that this would be an asset for citizens, offering them a new secure and accessible payment method, while consolidating the economic sovereignty of Europe faced with the invasion of payment solutions from elsewhere. Is crypto one of them?

Security and privacy in focus

The ECB does not hide that the digital euro is partly a response to the fear that the growing dependence on non-EU payment services does not compromise the security of financial transactions. Cryptos are often labeled as insecure by our rulers, in fact.

Evelien Witlox expressed clear concerns about this dependency, insisting that a digital euro could strengthen economic sovereignty and guarantee the security of both public and private payments. Enough to authorize a duel between this asset and bitcoin.

The ECB is keen to that this new means of payment is inclusiveallowing everyone to participate in the digital economy without access barriers.

When it comes to security and privacy, Witlox has been very clear: the ECB does not want to become a Big Brother of financial transactions. Privacy and security are top priorities, and technical solutions like “privacy by design” will be put in place.

This includes options like offline digital euros, ensuring that even without an internet connection, transactions remain confidential.

The objective is toavoid the creation of a programmable currency, which could potentially be used to monitor or control users. Otherwise, it will be pure economic totalitarianism.

All in all, the e-euro presents itself as a modern solution to the challenges posed by the reduction in the use of cash and the rise of cryptocurrencies, while strengthening the security and economic sovereignty of Europe.