The European Central Bank is already working on the digital Euro.
Nexi is working on the digital Euro with the ECB
Italian payments giant Nexi has revealed that it is currently working with the European Central Bank (ECB) on the digital Euro project. This latest development indicates that the ECB, like several other central banks around the world, is working on issuing their digital currencies.
Nexi CEO Paolo Bertoluzzo told CNBC’s Karen Tso at the Money 20/20 fintech conference in Amsterdam that “We are engaging with the European Central Bank and contributing to the design of the future digital euro because we believe that can be a positive force in the evolution of digital payments.”
The Nexi exec said they are helping the ECB with its decisions regarding the central bank digital currency (CBDC). “The situation will evolve because clearly there will be more to it. We’re starting to talk about a new version of cash. That’s the way they think about it,” he added.
Central banks are researching and launching CBDCs
Central banks in various parts of the world are either researching or issuing their CBDCs. The rise of stablecoins has forced most central banks to think about issuing digital versions of their fiat currencies.
Bertoluzzo said cryptos like BTC and ETH were unlikely to play a role in cross-border payments due to their price volatility. “They are clearly an asset class. But they fluctuate up and down on a daily basis based on the latest statement from someone in Silicon Valley … which is exactly the opposite of what you need in payments. You need the certainty of the value you are exchanging,” he added.