What is the digital euro: a new currency for Europe?

There are several types of currencies including the fiduciary currency. Therefore, issued by central banks, such as parts and tickets. However, Then. For example, as Bruno Colmant explains it “Once this currency is injected into a banking circuit, we have what is called scriptural currency, that is to say money which, from account to account, makes it possible to make deposits, makes it possible to borrow. Similarly, It creates what is called a currency flow“.

But what an individual. a non -banking company cannot do is open an account directly with the central bank which is the creator of money. And the digital euro. that’s it: “It is to allow individuals up to 3000 or 4000 euros per person, to companies, to open an account with the central bank, allowing them by this euro which is called digitized or digital, what digital euro: new currency to make transfers from account to account, that is to say to facilitate transfers at an almost reduced cost between economic agents“.

In fact. the individual could then have two types of accounts: “If you have an account with a Belgian bank, take the case of Belfius for example, you would have a normal account at Belfius and then a Belfius Bank Centrale account, with the certainty that this Central Bank Euro is deposited with the Central Bank“. An idea with which commercial banks are reluctant to say the least, although it has an advantage. Bruno Colmant Specifies: “This would also allow the Central Bank to finance public debts. Because the idea. of course, for the central bank, is to have its balance sheet funded by part of the popular savings and to refinance states which, As we know, greatly need it since public debts are very what digital euro: new currency important“.