France is looking to experiment with building its own central bank digital currency in 2020, according to local reports.
Speaking at ACPR, the French regulator for banks and insurance, in Paris, today, French central bank governor François Villeroy de Galha said he wants France to be the first country to issue a digital currency.
"We intend to start experimenting quickly and launch a call for projects (for private sector players) by the end of the first quarter of 2020," explained François Villeroy de Galhau. The digital euro will initially be used between banks, rather than by everyday citizens. Villeroy added that a digital currency for retail customers would "be subject to special vigilance."
"Thresholds on the amounts of anonymous transactions, as is already done in France for payments in electronic money or cash, could be introduced for this purpose," he said.
Villeroy pointed out that there are three advantages to building a digital euro. First, it could guarantee customer access to central bank money, where cash is losing ground. Second, it could be more efficient to tokenize the euro, particularly for settlement and post-market activities. Third, he said it would keep the sovereignity of central banks in light of rivals like Facebook's Libra. Read More...