Why there is no digital Euro yet!

Digital currencies are booming, but why is there no digital euro yet?

The major cryptocurrencies are currently in a slump, but their popularity is unprecedented. A lot of people have invested and even more people want to invest. Especially now that you do not receive interest on your savings, it is a good alternative. Governments also see this happening and cannot deny that digital money is the future.

Digital Euro

Another characteristic of governments is that they always lag behind the market. They are always late with developments. Likewise with cryptos. Governments are brooding on rules and laws to regulate things more. But also think about making your own digital currency. In Europe that will mean a digital Euro. Crucial with a currency (and also with the current Euro) that is issued by Europe is: trust!

Privacy

Confidence in the currency that it has and will retain value. But a digital currency has another aspect to do with this, which is privacy. The European Data Protection Board (EDPB) has therefore called on EU institutions to uphold privacy when designing a digital version of the euro. The agency stands ready to advise on data protection issues surrounding the project. Meanwhile, an ECB executive has vowed that the digital euro will protect users’ privacy.

The independent body stresses that ensuring privacy and data protection will be critical to the success of a project to digitize Europe’s common fiat currency. In an announcement published on its website, the board emphasized:

“A very high standard of privacy and data protection is critical to building end-user trust and should be seen as a differentiator in offering a digital euro, which is a key factor for success.”

The EU must speed up, other central banks are already further developing a digital currency. Where trust in the EU as an institution is not very high, the digital Euro will also have to win the trust of the user. Would you use it as a means of payment?