The European Central Bank is seeking to design a digital euro that is more energy efficient than Bitcoin

The European Central Bank (ECB) has joined the growing club of cryptocurrency-friendly financial institutions because it Announce Decided to “start a project to prepare for the possible issuance of a digital euro.” The official tweet of the European Central Bank stated:

“We will study how to design a digital euro and distribute it to everyone in the euro area.”

According to a Press release On July 14, the Council of the European Central Bank launched the investigation phase of the digital euro project. This phase is planned to last for two years, during which Eurogroup will design a digital currency, focusing on “user preferences and technical advice from merchants and intermediaries.”

To share more insights, the official statement of the European Central Bank also emphasized their success in determining various methods to protect user privacy, in line with the country’s GDPR requirements. They added:

“It also shows that the energy demand of infrastructure is negligible compared to the energy consumption and environmental footprint of crypto assets such as Bitcoin (Bitcoin)”

Fabio Panetta, a member of the European Central Bank’s Executive Committee, clarified that the success of the digital euro will largely depend on the value it adds to “the people, businessmen and financial intermediaries of the Eurozone.”

Related: UAE tests and launches internal digital currency

On a similar timetable, the United Arab Emirates also announced its interest in launching a digital version of the country’s decree. In the three-year plan from 2023 to 2026, the Central Bank of the UAE intends to rank among the top ten financial leaders in the world.

In a situation that seems to be becoming more and more common in 2021, banking giants around the world have announced their interest in experimenting with various types of crypto assets. Recently, the Prime Minister of Vietnam Phạm Minh Chính asked the State Bank of Vietnam to start a trial of its own digital currency.

Although the crypto ecosystem is facing huge mainstream resistance, the government is now cautious about missing out on potential innovations. As more and more leaders continue to share their interest in trying digital currencies, Bitcoin will redefine the “B” of the banking industry.