<div class="textg" style="text-align: justify; font-weight: lighter; line-height: 1.3em; font-size: 15px; border-radius: 3px; color: #80909a; padding: 10px; background-color: #F4F6F9; margin-bottom: 15px;">
 Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noreferrer noopener" class="deco-link">website policy</a>&nbsp;prior to making financial decisions.
</div> 
<p class="has-drop-cap">The European Central Bank (ECB) <a aria-label="said on Friday (opens in a new tab)" href="https://www.ecb.europa.eu/press/pr/date/2023/html/ecb.pr230428~6a59f44e41.en.html" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">stated that</a> the eurozone monetary authority is studying possible solutions to allow central bank money to settle wholesale transactions on distributed ledger technology (DLT) platforms.</p> 
<h3 id="ecb-to-set-up-a-dedicated-entity-to-support-wholesale-cbdc-investigations">ECB to Set Up a Dedicated Entity to Support Wholesale CBDC Investigations</h3> 
<p>The Eurosystem, the collective of European Union (EU) member states that use the euro as the official currency, is exploring ways of “how wholesale financial transactions recorded on DLT platforms could be settled in central bank money,” the ECB wrote in the press release on Friday.</p> 
<p>The move comes as the ECB doubles down on Eurosystem’s ongoing work in this space and looks to learn how different solutions can streamline the interaction between TARGET services and DLT platforms. TARGET services refer to a range of services developed by the Eurosystem that are settled in central bank money.</p> 
<p>The ECB is considering launching a retail <a aria-label="central bank digital currency (opens in a new tab)" href="https://edps.europa.eu/press-publications/publications/techsonar/central-bank-digital-currency_en" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">central bank digital currency</a> (CBDC) that EU citizens and traders would use. However, the bank also intends to keep pace with wholesale financial markets developments, such as DLT and blockchain technologies.</p> 
<p>In addition, the ECB said it plans to establish a dedicated market contact group to aid Eurosystem in its exploratory studies. This new entity will offer “expert input and keep the Eurosystem abreast of advances in the use of DLT and other new technologies in wholesale financial markets,” the bank added in the announcement.</p> 
<div class="cta-referral"> 
 <img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async"> 
 <div class="cta-referral__text"> 
  <p>Join our&nbsp;<a href="https://t.me/thetokenist" target="_blank" rel="noreferrer noopener nofollow">Telegram group</a>&nbsp;and never miss a breaking digital asset story.</p> 
 </div> 
</div> 
<h3 id="digital-euro-investigation-phase-to-conclude-this-year">Digital Euro Investigation Phase to Conclude This Year</h3> 
<p>According to <a aria-label=" (opens in a new tab)" href="https://www.ecb.europa.eu/paym/digital_euro/html/index.en.html" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">ECB’s official website</a>, the European central bank is still pondering whether to issue a CBDC – a digital version of the euro that would provide euro-area citizens an extra option to make payments. Meanwhile, several other global central banks continue to <a href="https://tokenist.com/digital-yuan-loans-can-help-china-monitor-businesses-in-real-time/" rel="dofollow" class="deco-link">make significant progress</a> in this area. </p> 
<p>The ECB believes a digital euro could further stabilize the bloc’s payment and monetary system amid growing demand for reliable and secure electronic payment methods. ECB announced the 2-year investigation phase for this project in October 2021, which means that exploratory work is expected to conclude in October 2023.</p> 
<p>Last week, <a href="https://tokenist.com/eu-parliament-approves-markets-in-crypto-assets-regulation-mica/" rel="dofollow" class="deco-link">European lawmakers approved</a> regulations to establish harmonized rules for digital assets in the EU, known as the Markets in Crypto Assets (MiCA). The law, primarily welcomed by the crypto community, was proposed and approved to protect users from risks highlighted <a href="https://tokenist.com/ftx-files-for-bankruptcy-sbf-to-step-down-as-ceo/" rel="dofollow" class="deco-link">by FTX</a> and LUNA collapses.</p> 
<div class="cta-sub js__cta-sub"> 
 <div class="cta-sub__start" data-step="1"> 
  <div class="cta-sub__title">
   <strong>Finance is changing.</strong>
  </div> 
  <div class="cta-sub__subtitle">
   Learn how, with Five Minute Finance.
  </div> 
  <div class="cta-sub__excerpt">
   A weekly newsletter that covers the big trends in FinTech and Decentralized Finance.
  </div> <button type="button" class="btn">Try it out (for free)</button> 
 </div> 
 <div class="cta-sub__form" data-step="2" style="display: none;"> 
  <script type="text/javascript" src="https://app.getresponse.com/view_webform_v2.js?u=QcLhh&amp;webforms_id=zw3Wv"></script> 
 </div> 
 <div class="cta-sub__result" data-step="3" style="display: none;"> 
  <div class="cta-sub__title">
   Awesome
  </div> 
  <div class="cta-sub__caption">
   You’ve subscribed.
  </div> 
  <div class="cta-sub__greeting">
   You’re well on your way to being in the know.
  </div> 
 </div> 
</div> 
<p><em><strong>Do you think the ECB will eventually launch retail and wholesale versions of a digital euro? Let us know in the comments below.</strong></em></p> 
<p>The post <a rel="nofollow" href="https://tokenist.com/europes-central-bank-to-explore-dlt-platforms-for-settlement/">Europe’s Central Bank to Explore DLT Platforms for Settlement</a> appeared first on <a rel="nofollow" href="https://tokenist.com">Tokenist</a>.</p>

Europe’s Central Bank to Explore DLT Platforms for Settlement

Table of Contents

Tokenist

Other articles published on Apr 28, 2023

Cogni launches KYC-based soulbound NFTs for crypto wallet owners

Total Stablecoin Market Capitalization Declines for 13th Consecutive Month

$168M Worth of AVAX Tokens to be Unlocked in a Month

SEC’s Gary Gensler Takes Another Swipe at Crypto in Educational Video

Fetch.ai Remains on Track in Terms of Development, but Can it Save FET

FRC Recovers in Premarket as Government and Advisers Explore Rescue Options

Join our free newsletter for daily crypto updates!