Bank of France Moves Further to Digital Euro

France’s central bank is enthusiastic about contributing to the Eurozone’s “global reflection on the benefits of CBDCs.”

France’s central bank has completed its first central bank digital currency fund transaction on the SETL blockchain, the Banque de France and blockchain company SETL optimistically announced yesterday.

The French bank settled the transaction on the SETL blockchain with the use of SETL’s IZNES platform. The experiment is a partnership with financial institutions CITI, CACEIS, Groupama, OFI, and DXC.

For experiment purposes, which took place last December 17, CITI and CACEIS acted as commercial banks that bought over 2M euros in CBDC tokens from the French Central Banks.

The Banque de France commented that its smart contracts allowed it to issue and control the circulation of CBDC tokens to make sure that the money ended up in the commercial banks’ accounts.

The French bank completed its first successful test for a CBDC in May of the previous year. Then it selected Societe Generale to help it develop a CBDC. In September 2020, SocGen selected Tezos for an experiment, and then in October, it tapped ConsenSys. This week’s experiment is the bank’s first with SETL.

What happens now?

“This experiment represents a significant step forward in assessing the levers that a central bank digital currency provides for enhancing the efficiency and resilience of the settlement of financial assets in a blockchain environment,” remarked the Banque de France in a statement.

It stated that its other CBDC projects will continue until the middle of the year and that it shall apply all of its learning into a “contribution to the Eurosystem’s more global reflection on the benefits of CBDC.”

The CEO of SETL, Philippe Morel, appears less interested in contributing to the vast canon of financial navel-gazing and more anxious to start everything. He commented in a statement today,

“We are now excited to take our Payments offering to the next level.”

However, although many European central banks – including the European Central Bank – are interested in a central bank digital currency, none have put deliberate plans into action.

For up-to-date Cryptocurrency, Blockchain, and Crypto-mining news, please join our Telegram Channel:
https://t.me/CryptoNetWork_News