France’s central bank began testing central bank digital currency (CBDC) applications and use cases this spring.
As previously reported, the Bank of France is testing something called the digital euro, specifically in the context of exchanging and closing tokenized assets. At the time, the central bank stressed that such experiments were just trials, nothing more.
New comments from a senior Bank of France official show that Eurosystem looks beyond the horizon as it approaches the potential endorsement of a digital euro. ECB chief Christine Lagarde has spoken several times, and a decision is expected in early January.
On December 10, Denis Beau, deputy chief executive of the French central bank, talked about the financial technology innovations he referred to on the ongoing CBDC experiments. In his words, he emphasized the comprehensive nature of the subject and the potential to rewrite the current regulatory framework.