TY - JOUR
T1 - “Economically inefficient and legally untenable”
T2 - constitutional limitations on the introduction of central bank digital currencies in the EU
AU - CULLEN, JAMES
N1 - Publisher Copyright:
© 2021, The Author(s), under exclusive licence to Springer Nature Limited.
PY - 2021/6/22
Y1 - 2021/6/22
N2 - ECB officials have recently poured scorn on the notion that the ECB could introduce a central bank digital currency (CBDC) in the Eurozone, with one labelling such an initiative as “economically inefficient and legally untenable.” This article assesses the justifications for these claims from legal and economic perspectives. It finds that, based upon prevailing ECB policies and the myriad options available for CBDC design, such claims are flawed. The article further explains that the ECB’s reticence to consider the introduction of CBDC may impair the development of payments systems and obstruct financial inclusion.
AB - ECB officials have recently poured scorn on the notion that the ECB could introduce a central bank digital currency (CBDC) in the Eurozone, with one labelling such an initiative as “economically inefficient and legally untenable.” This article assesses the justifications for these claims from legal and economic perspectives. It finds that, based upon prevailing ECB policies and the myriad options available for CBDC design, such claims are flawed. The article further explains that the ECB’s reticence to consider the introduction of CBDC may impair the development of payments systems and obstruct financial inclusion.
KW - CBDC
KW - Central bank digital currency
KW - Constitution
KW - EU
KW - Financial stability
KW - Market neutrality
UR - http://www.scopus.com/inward/record.url?scp=85108609362&partnerID=8YFLogxK
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U2 - 10.1057/s41261-021-00162-4
DO - 10.1057/s41261-021-00162-4
M3 - Article (journal)
AN - SCOPUS:85108609362
SN - 1745-6452
JO - Journal of Banking Regulation
JF - Journal of Banking Regulation
ER -