The Italian Banking Association (ABI) announced that it can start working on the European Central Bank’s digital currency. The firm uncovered that it will bolster the usage of a computerized cash from the European Central Bank.
As indicated in the upcoming update sometime the end of June from the ABI site, the affiliation had endorsed rules overseeing its situation on computerized cash and national bank advanced monetary forms (CBDCs).
ABI, which represents a group of banks in Italy, agreed to “participate in projects and experiments of the European Central Bank for digital currencies […] to accelerate the implementation of initiatives at the European level”.
“Digital money must be fully trusted by citizens. To do this, it is important to maintain the highest standards of compliance, security and supervision,” the group said. ABI identifies “currency stability” and compliance with the digital euro as its two main priorities.
Digital Euro creation and its unlimited possibilities
The affiliation expressed that the making of an European CBDC may take into consideration a more noteworthy number of cross-outskirt P2P exchanges, decrease the effect of the intrigue and trade rates, and by and large simply diminish the size of the bureaucratic procedure for installments.
As per the ABI, building up an advanced cash in the European Union (EU) could trade the interest for digital forms of money.
“The existence of [a European CBDC] could at the same time reduce the attractiveness of instruments of comparable use but issued by private individuals or (in cases of complete decentralization) which cannot be identified, characterized by an intrinsically higher risk profile.”
Work on distributed book technology
ABI has applied Distributor Book technology (DLT) to blockchain-based interbank systems. The Spunta project includes Italy’s acceptance of a group of six other European countries – Malta, France, Cyprus, Portugal, Spain and Greece – which have agreed to promote the use of DLT in the EU.