- The ECB is keen to launch the digital Euro by the end of 2025 to enhance its global adoption
- Research shows 137 nations have been exploring the launch and development of CBDCs
- Bitcoin stands a chance to gain more global users once more nations launch their CBDCs
Christine Lagarde, the current president of the European Central Bank (ECB), has reassured the public that the digital Euro will consider the needs of all users. Lagarde has reiterated the bank’s commitment to ensure that the digital Euro serves all the people equally.
“So it is not something that is good for the elite, or is good for the young, or is good for some versus others. If it is well done, and if it is well implemented, it would be of service to all citizens,” Lagarde stated.
In a notable reference, Lagarde further highlighted that the digital Euro will copy the implementation style of China with the Digital Yuan. The Chinese government has rolled out the digital Yuan to millions of users in the past years, especially to retail merchants.
“It is piloted on a fairly large scale in China, where it is of use and of service to all citizens,” Lagarde added.
Related: Digital Euro Seeks To Eliminate Friction Even After 3 Year-Existence
Digital Euro to Challenge U.S. Dollar as Global Reserve Currency
The competition to dethrone the United States dollar as the global reserve currency has shifted to the digital assets market; precisely the Central Bank Digital Currency (CBDC). According to data provided by atlanticcouncil, 137 countries, which represents 98% of the global GDP, have been exploring the launch and development of the CBDC.
Three countries – including Nigeria, Jamaica, and the Bahamas – have already launched their respective CBDCs. Meanwhile, 49 countries have already developed their respective CBDC and are currently in the pilot phase. The People’s Bank of China (PBoC) has been pushing the mainstream adoption of e-CNY.
The ECB is advancing to strengthen the digital Euro to be used in global trade, after the October 2025 launch. Furthermore, the ECB is keen to revitalize the economic activities of the bloc through close cooperation with China, as observed in the recent trade wars.
On the Flipside
The development of CBDCs has raised concerns around the world, particularly to proponents of privacy. In the United States, President Donald Trump vowed not to allow the Federal Reserve to develop and launch a U.S. dollar CBDC.
The opponents of the CBDCs argue that the government will have ultimate control over people’s money including having a freeze feature. Nonetheless, the GENIUS Act on stablecoins in the United States has a clause that intends to force stablecoin issuers to have a mandatory freeze feature.
Related: Powell Cancels Any CBDC Plans, Instead Trusts FedNow for U.S. Payments
Ultimately, Bitcoin (BTC) and the wider altcoin market stand a chance to win more global users once more governments implement CBDCs that are highly centralized and inflationary.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
