"CBDC has many advantages, right? Is there anyone who doesn't like CBDC to be accepted by the central bank?"
Joachim Nagel, President of the Bundesbank and member of the European Central Bank (ECB) stressed that the future of the central bank depends not only on the review of its business capital but also on the rapid adoption of the Central Bank Digital Currency (CBDC).
During a panel session at the Innovation Summit hosted by the Bank for International Settlements on May 6, 2024, Nagel was seen warning of the uncertainty surrounding central banks.
According to Nasel further in Basel Switzerland, he would still have said no if someone had asked him 20 years ago whether central bank business capital could be destroyed or not.
In addition to emphasizing the importance of integrating distributed ledger technology because physical money has lost its appeal, Nagel also said the central bank needs to think of another new core product if some of the core products lose appeal.
The string, French ECB member Francois Villeroy de Galhau also discussed the central bank and emerging technologies and it should be known that during the previous BIS conference he had suggested to banks to use digital currency for wholesale and retail transactions.
The role is not to become a dominant payment method but to create stability for the financial system, therefore Galhau truly believes that sooner or later we will need CBDC for wholesale and retail purposes.
Immediately after completing its investigative phase to determine its design and technical details, the ECB, which is currently developing a digital version of the euro, expects to complete the project by October 2025.
