ECB'S PANETTA SAYS BANKS WILL NEED TO ISSUE FULLY DIGITAL PRIVATE MONEY

Commercial bank money is set to become fully digital in the future, like central bank money, and the two will continue to anchor the monetary system, a top European Central Bank policymaker said on Wednesday.

The growing use of financial assets in digital, or tokenised, form has raised questions about the future of the two-tier monetary system that links central bank and private money. Some experts warn that stablecoins could undermine the principle that all forms of money trade at par and are interchangeable regardless of issuer.

Learn More