The Libra forces the ECB into a digital cryptocurrency eur

The European Central Bank will have to consider it to be a private, public, digital currency is out of it. It is in the EU draft report. The proposal is a response to the threat of the Balance, and the private cryptocurrency on Facebook.

A joint approach to cryptocurrency’s

Facebook said in June that they are going to Balance the next year to launch it. But France and Germany said in september that it is a risk for the European financial services sector. That’s why these countries are in the evolution of a public alternative.
Reuters reports that the European Union is calling for a common approach regarding the cryptocurrency s. For example, at the joint to prohibit high-risk projects.
The impact of the draft report should not be underestimated, at least in theory, the proposal of the following month to be considered by the Finance ministers of the member states.

It has all the position

The proposal was drafted during the Finnish EU presidency:
“The ECB and the central banks of the EU, and the opportunities and challenges faced by the issue of a digital exchange of currency, central banks are able to examine, inter alia, through concrete actions to this end should be considered.’
The text can be without having to be discussed by the Finance ministers. If there is a consensus, then the proposal is already on the 5th of december to be translated into concrete actions.

The european computer right at the ECB’s deposit, without the tussenpartij

Benoit Coeure, a member of the board of the ECB, in september, he said, is that the bank will seriously have to think about it in a public, digital currency. In its most ambitious form, consumers are able to e-money is used directly by the ECB, will be paid without a bank account, financial intermediaries or other third parties.
At this point, these ‘steps’ are still required, but the ECB can take over the required tasks, as a result, the transaction costs are also much lower.
For this purpose, the ECB will, however, invest a great deal of technical challenges. And not least important, the commercial bank will be here to violently resist.

Now it’s time to take action

As a digital euro, it is really just a stablecoin and until any Balance at the time came out, talked to the regulators, nothing about this type of cryptocurrency’s. The largest of the stablecoin is a Tether, and it is much smaller than that of bitcoin.
However, the billions of the range of the Balance, the quantity on the lookout at all times.
“We have to at the very least, a robust regulatory framework is necessary to deal with virtual currencies,” said Markus Ferber, a German conservative, who are the largest group in the european parliament is leading in the area of finance.
“The EU Commission has so far been complacent has been. With the threat of Libra on the horizon, now is the time to take action.’

About the author

Jeremiah Faber

Jeremiah Faber

Jeremiah is an explorer by heart – both in the physical and the digital realm. A traveler, Jeremiah continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Jeremiah and through his business acumen has gained financial profits as well as fame in his business niche.