Economics
Central Banks Will Face Challenges in Digital Money Adoption, ECB Study Finds
- Current bank-issued currencies provide little insights on use
- Replicating traditional cash could make it more attractive
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Central banks will likely have a much tougher time getting consumers to use their digital money than they do issuing them, according to researchers from European Central Bank.
While ongoing discussions by policy makers and academics often don’t touch on adoption of digital currencies or assume it’s “a given,” broader adoption might in fact force central banks to weigh difficult trade-offs, the ECB paper by Alejandro Zamora-Perez, Eliana Coschignano and Lorena Barreiro said.