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From Athens, the ECB will announce the digital euro – How it will work
(hellas.postsen.com)
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this post was submitted on 08 Aug 2023
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Would be interesting if there was a limited supply.
Otherwise I don’t see the advantage, it is still being controlled by a central entity.
Depends. With a digital euro, you can safely stash away your money without having allowing private banks to make a profit out of it. Same goes with transactions. Firms like Visa or Mastercard won’t turn a profit out of it. Of course there are many disadvantages as well.
According to OP's article, the ECB is specifically aiming to make the digital euro not viable for storing a bunch of money, so I don't think that that's a target use case.
Indeed, I remembered when the ECB first talked about it (2-3years ago) and I read the article diagonally.
But it still, most people could get rid of their cash bank account as most people earn less than 3k€net per month and just keep a saving account.
All in all, I’d still argue it’s a not-so-bad initiative, especially for small businesses who pay a hefty fee per transactions
And then where would lending and borrowing money come from?
It would still be banks. Owning a bank account would just not be mandatory anymore.