The data of the main banking entities of the country make it clear. The boom of the operational digital during the confinement has come to stay. In a very few months, citizens have been given a triple somersault advancing habits of consumption that, without the current scenario, would have taken years, and many, in consolidated.
The European Central bank (ECB) is fully aware of this transformation and has taken the time to re-launch their plans in the euro digital. A project that is currently in phase of public consultation and experimentation, but, according to sources, the idea is to have lists the conclusions to mid-2021 at the latest.
That is to say, what was until recently a debate, more like the science fiction, could be closer to reality than ever before.
CBDC vs criptodivisas
The euro digital belongs to the known assets as Central Bank Digital Currency (CBDC). That is to say, a digital currency issued by a central bank, in this case the ECB. The main difference with the euro ‘traditional’ is the support and, with other criptodivisas as the bitcoin, his public character against the private company that is responsible for launching these latestwhose price is governed by supply and demand.
As the cash, the euro digital will be part of the money supply. Money created and saved in the central bank for all consumers, without the need of intermediaries.
The idea handles the ECB is that for every euro digital, it will remove a euro physicist, for that supply is balanced. And in addition to large transactions, and can be used by retailers for actions as simple as buying the bread.
The scenario compels to take this step. The body itself money recognizes a noticeable increase of the demand of electronic payments in the euro areathat definitely requires a higher level of security to prevent fraud. It is the same thing that is making the financial sector by the private party with its investment in cybersecurity before the unstoppable increase of the operational online.
The trend continues
For example, Banco Santander already made 44% of its sales through digital channels, compared to 36% in 2019. In BBVA they represent more than 63% from 57.7% and the data of the signature to reflect a constant fall in the cash withdrawal in atms.
Other data that reflects the same trend in the sector is the age groups that use digital services. In CaixaBank, 66.1% of clients between the ages of 20 and 74 years of age already use their mobile applications. In total, 6,28 million people, 13.7% more than a year ago. And the trend is repeated across the sector.
The reality is that users begin to lose the fear of the digital and who have served the ECB to ‘jump the pool’, with the aim of addressing the launch of private means of payment that have already raised regulatory risks and financial stability.
In the case of the Pound Facebook, whose launch became paralyzed late last year, precisely because of the doubts about the protection of the user.
However, it seems clear that the social network will launch sooner or later your digital currency, with any person in the world, bancarizada or not, it may, among other things, send money to any part of the world.
Staying behind is not an option. And more when other central banks worldwide, such as China or the Federal Reserve (Fed) already carry a certain advantage in the study of these CBDC.
Avoid the mountain of debt
This boom of the digital money has led to a certain fear that the large companies implement monetary systems parallel to the sovereign. As explained by Herminio Fernandez, CEO of EurocoinPay, the euro digital would be public money, backed by the ECB. “Unlike, the criptomonedas are controlled by supply and demand, return control of money to the citizens”, indicates.
In this sense, explains that “through the euro digital we control one hundred percent, you will know the debt that we have, even the fines”. But it will also help the end of the money ‘in B’ and to prevent fraud, according to explains.
The theory of the expert, a strong advocate of the criptomonedas, is that the money, as we know it today, dragging a huge ball of debt that no State knows how to stop. In his view, the idea of digital currencies is to make a ‘reset’ of the euro to start from scratch again.
Although the ECB insists that the euro digital will live alongside the cash, Herminio Fernandez gives a period of 8 to 10 years for the total disappearance of the money ‘physical’. Seems to be an idea of something far away, but the expert insists that “the good thing about innovation is that it is very friendly to the users and will be able to adapt.”