Olli Rehn, Finnish member of the European Central Bank (ECB), sees that a possible digital euro could be useful.
He said a possible digital Euro currency that the European Central Bank is working on could have several benefits, such as facilitating cross-border payments and providing a digital monetary connection.
Digital Euro Study Envisioned to be Completed in October 2023
In his speech at the University of California, Olli Rehn said that the research phase for the digital Euro is expected to be completed in October 2023.
Rehn said later that the ECB will decide whether to start creating a digital euro.
He said he sees several possible benefits from the idea of introducing a central bank digital currency, such as expanding the availability of central bank money from transactions only between banks to include payments between ordinary people.
In addition to his statements, Rehn also said:
“A digital euro will give people an additional choice in how they pay and make it easier to transact in an increasingly digital economy.”
Rehn added that the limitations of existing private crypto assets are “structural” due to their volatile prices and vulnerability to cyber risks.
Rehn echoed the recent comments of US Federal Reserve Deputy Chairman Lael Brainard, saying:
“A digital, locally-safe form of central bank money can enhance stability by providing a neutral and reliable layer of consensus in the financial system of the future.”
Additionally, in June, with Fed Chairman Jerome Powell speaking in his favour, the Fed had completed a four-month public consultation process seeking ideas on the idea of introducing a digital dollar.
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