ECB Economists Suggest Limiting Access to Digital Euro to Protect Banks

ECB Economists Suggest Limiting Access to Digital Euro to Protect Banks


A group of economists evaluating the potential effects of a digital euro have insisted that restricting access to the upcoming currency is necessary to preserve the current financial system. Their study follows an earlier proposal to limit digital euro deposits at the European Central Bank (ECB) to €3,000 per person.

Limited Availability of Digital Euro Expected to Prevent It From Becoming Too Popular

Europeans’ access to a digital euro should be restricted to prevent a flight of capital from deposits at commercial banks, according to a report published by the European Central Bank. The paper has been produced by a team of experts led by Frank Smets who heads the regulator’s Directorate General Economics.

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The economists have tried to predict the impact of a central

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