The Spanish central bank’s deputy governor, Margarita Delgado, shed light on the prospective role of the digital euro and its interplay with private payment methods.
Aligning with the recent legislative proposal for a digital euro, Delgado emphasized its potential to catalyze the private sector’s growth in pan-European financial and payment services. This enhancement, she contends, will position Europe’s financial system more favorably against non-European competitors.
The interest in Central Bank Digital Currencies (CBDCs) has surged, with approximately 130 countries currently evaluating their adoption. Yet, the path to CBDC deployment is delicate, as regulators grapple with ensuring proper use without stunting its utility.
U.S. Congressman Warren Davidson has expressed reservations about CBDCs, urging for their prohibition. Conversely, Governor Margarita remains optimistic, underscoring the European Commission’s intention to keep the digital euro inclusive and free from undue restrictions on its usage.
A report from the Australian central bank echoed this enthusiasm, suggesting that a digital dollar could spur innovation and bolster Australia’s economic growth. However, the bank also highlighted the need for comprehensive research to understand the CBDC’s full potential.
Public sentiment about CBDCs remains split; some herald it as a financial breakthrough, while others view it with suspicion, fearing increased governmental oversight.
Cryptocurrency Trends in Spain
Delgado’s remarks come at a pivotal moment, given Spain’s evolving relationship with cryptocurrency. Spain ranks 22nd globally in terms of cryptocurrency adoption, as per Statista.
A study by the Spanish crypto firm Bitnovo reveals cryptocurrency emerging as Spain’s second-favorite payment medium. Their data also indicates that 60.7% of Spaniards view cryptocurrencies as a long-term investment, 35.7% use them for transactions, 21.4% for short-term speculation, and 17.9% out of sheer interest.
Amidst varying opinions on CBDCs, Spain’s crypto regulations have remained relatively flexible, possibly influencing the nation’s growing affinity for digital assets.