The ECB is currently considering whether to issue a retail central bank digital currency (CBDC) for use by ordinary traders and citizens, including those using the technology underlying cryptocurrencies.
Central banks that use the euro currency (collectively known as the Eurosystem) are “studying how wholesale financial transactions recorded on DLT (distributed ledger) platforms can be settled in central bank currency,” according to a statement from the ECB on Friday.
The aim of the program is to consolidate and further develop the ongoing work of the Eurosystem Central Banks in this area and gain insight into how different solutions can facilitate the interaction between TARGET services and DLT platforms.