- This was announced by ECB Executive Board member Fabio Panetta
- He noted that the regulator will move to CBDC tests as early as this summer
The ECB held its 25th anniversary ceremony in Frankfurt last week, May 24.
As part of the event, a member of the executive board of the regulator Fabio Panetta named approximate dates for the launch of the digital euro.
He said 50 people are working on the project CBDC EU.
The team is scrutinizing not only the mechanism of digital currency integration, but also how to spread and promote it, the design and potential risks to the financial sector.
The ECB is expected to present a bill this June defining the regulatory framework for CBDC.
After that, the regulator will begin the pilot testing phase. Panetta believes it will take two to three years.
With that in mind, the likely timeline for a full launch on the open market is three to four years. But only if the digital currency test proves successful.
Panetta sees the CBDC as an important element in ensuring the stability of the financial system in a digitized economy. According to the official, it is the central bank currency should be its “core”.
But at the same time, CBDC should also meet the principles of personal data protection.
Panetta provided assurances that when the AML and KYC measures are integrated into the digital euro, users’ personal information will not be affected.
We previously reported that the CBDC from the EU will be integrated into banking applications. Why it’s needed.
Panetta admitted that the ECB lacks the experience to effectively allocate and deal with clients. Therefore, this role falls on private counterparties from the financial segment.