European Central Bank President Christine LAGARDE suggested that the Eurozone could benefit from the transition to the digital Euro. The digital Euro should not be seen as a replacement, but as an addition to cash, she said.
While noting the cryptocurrency, the ECB President also stated that the transition to the digital Euro could serve as an alternative to private digital currencies. In addition, the need to introduce new digital technologies in the world's largest common currency zone was announced.
The proposed CBDC will not compete with the Euro, but will coexist and interact with traditional banking infrastructure. Extending financial power beyond a few strong banks will bring financial and competitive advantages as banks are forced to make better decisions.
Image courtesy of Wikimedia