Thread by @Jonas__Gross

The @ecb has published its second progress report on the investigation phase of a #digitaleuro. The report elaborates on #design and #distribution options for its #CBDC and gives an outlook for remainder of the investigation phase and afterwards.

Some observations 👇(1/12)

🤝 Collaboration: The #ECB stresses that a collaborative approach is key to the preparation and eventual success of a digital euro. Further, it was stressed to continue to actively engage with a large number of stakeholders. (2/12)

As the @DigiEuro, we are one of the civil society associations in contact with the ECB and had one exchange seminar in 2022. During 2023, we hope to be involved in more discussions around essential design options for the digital euro. (3/12)

🏦 Supervised intermediaries: "Supervised intermediaries would conduct tasks related to payment initiation, authentication, validation and post-settlement activities, including reconciliation. The Eurosystem will perform the settlement activities." (4/12)

💸 Funding: "Users would either fund their digital euro holdings accounts or wallets with cash, or convert private money into digital euro. Users would be able to choose whether the conversion [...], should take place manually or automatically." (5/12)

💡#Privacy: It is said that the Eurosystem will not be able to infer how much digital euro any individual end users holds. (6/12)

🔑 #Technology: "The Eurosystem has not yet taken a decision on the technology that would be best suited for a digital euro. The technology should follow functionality." (7/12)

⚖️Legislation: "The European Commission intends to propose a regulation to establish a digital euro in the second quarter of 2023." (8/12)

🔜 Next steps: "In the remainder of the investigation phase, work will continue on assessing a number of design and distribution options for a digital euro, including advanced functionalities for digital euro payments [...]". (9/12)

"By the second half of 2023, the Eurosystem decision-making bodies are expected to confirm a high-level design of a digital euro that will incorporate all the design choices made up to then and make it possible to conduct a review of possible interdependencies [...] (10/12).

"The approval of this second set of design options does not prejudge any decision to move to a realisation phase, scheduled for autumn 2023, nor the ultimate decision on whether to issue a digital euro." (11/12)

Source: ecb.europa.eu/paym/intro/new… (12/12)