Do we need the digital euro?

In October, the European Central Bank (ECB) launched a two-year investigation phase for the digital euro. Last week at Frankfurt School, Professor Ulrich Bindseil, Director General for Market Infrastructure and Payments at the ECB, and Professor Philipp Sandner, Head of the Frankfurt School Blockchain Center, discussed the opportunities, challenges and risks posed by the digital euro.

By working on a central bank digital currency, the ECB and Europe’s national central banks are responding to the emergence of digital currencies, including stablecoins and cryptocurrencies, and to the increasing need for secure online payments.

It was not yet clear if and when a digital euro will be introduced. What was clear, however, is that global developments in the areas of technology, geo-strategy and consumer behaviour will determine the environment for the introduction of the new digital currency. The discussion between Professor Bindseil, Professor Sandner and the audience addressed these fundamental influences and the central question: What will be the use cases and consequences of the introduction of the digital euro?

The event was recorded and can be viewed here:

The discussion was part of a new series that Frankfurt School launched this year. Campus Talks bring leading experts from research and practice together to debate current issues. Participation is by invitation only.