As numerous countries across the board navigate their feelings on central bank digital currencies, or CBDCs, Benoît Cœuré, of the Bank for International Settlements thinks physical cash will retain its importance. Heading up the BIS’ innovation wing, Cœuré formerly held a position with the European Central Bank on its executive board.
“In the euro area, unlike Sweden or China, demand for banknotes is still strong,” Cœuré said in an interview on Thursday. “Their role is declining as a means of payment, but they remain a means of savings,” he added:
“No one wants to force consumers to choose their payment methods. Diversity is a good thing and it fosters innovation. The goal is to offer choice, which means allowing consumers to continue paying with currency issued by the central bank.”
Cœuré expressed a multitude of points on the CBDC scene globally. He described innovation as a natural part of growth, mentioning other countries’ varying stances and pacing