ECB says digital euro may be needed to combat ‘artificial currencies'

The European Central Bank has warned that a CBDC or digital euro may be required to head off the spectre of “artificial currencies” dominating cross-border payments.

In ECB’s annual review of the euro dubbed “The international role of the euro”, economists Massimo Ferrari (NYSE:) and Arnaud Mehl conveyed concerns over the rise of artificial currencies led by unnamed “foreign tech giants” — likely a veiled reference to Facebook’s Diem project: