Answer to Written Question: Need for the EU to issue a digital currency

(Source: European Parliament)

EN

E-001241/2021

Answer given by Ms McGuinness

on behalf of the European Commission

(1.6.2021)

As highlighted in the Digital Finance and Retail Payment Strategies[1] adopted in September 2020, the Commission supports the technical work by central banks, looking into the possible issuance of a digital euro while safeguarding the legal tender of cash.

As announced in its January 2021 Communication on the ‘European economic and financial system: fostering openness, strength and resilience[2], the Commission and the European Central Bank services are currently jointly reviewing at technical level a broad range of policy, legal and technical questions emerging from a possible introduction of a digital euro, taking into account their respective mandates and independence provided for in the EU Treaties[3].

The Digital Finance Package includes a legislative proposal for a Regulation on Markets in Crypto-assets (MiCA)[4] which aims to enable innovation through legal certainty, while addressing risks to consumer protection, market integrity and financial stability. The MiCA proposal will regulate crypto-asset issuers and service providers. If the proposal is adopted as proposed, it will provide consumer protection rules for wallets, exchanges and trading platforms providing services in relation to crypto-assets in the EU, including Bitcoin. Many crypto-assets, including Bitcoin, remain volatile assets and consumers need to familiarise themselves with the risks before investing.


[1] https://ec.europa.eu/info/publications/200924-digital-finance-proposals_en

[2] https://ec.europa.eu/info/publications/210119-economic-financial-system-communication_en

[3] https://ec.europa.eu/info/sites/info/files/business_economy_euro/banking_and_finance/documents/210119-ec-ecb-joint-statement-digital-euro_en.pdf

[4] https://ec.europa.eu/info/publications/200924-digital-finance-proposals_en

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