State cryptocurrencies, now it is France's turn, but a joint European action would be needed

State cryptocurrencies, now it is France's turn, but a joint European action would be needed

By Roberto D. | CryptoFarm | 5 Dec 2019


During a conference between the French Prudential Supervision and Authority and the Autorité des marchés financiers, held just in recent days, François Villeroy de Galhau, current governor of the Bank of France, announced the launch of a project aimed at issuing of a French CBDC; the news, also confirmed by the official twitter account of the French central bank and was relaunched yesterday by the economic news daily Les Echos, for which it has all the trappings of official status. According to what emerged, the project, which will be launched within the first quarter of 2020, concerns a CBDC for large financial market players, so it will not be distributed to ordinary citizens, and its main purpose would be to stem the risks related to the issue of global stablecoins such as, for example, pounds; moreover, that the French are literally obsessed by the cryptocurrency of facebook is something quite known, they are so much that they decide to issue their own CBDC in order to guarantee that they will be able to face the crypt created by Zuckerberg which, however, up to this point moment remains only on paper and frankly seems to have run aground.

There is also to say however that the French do not take kindly to any cryptocurrency, so it is not a question that concerns only pounds, and the feeling is the move to issue a CBDC of its own due to the attempt to avoid that, in the absence of alternatives, large companies decide to exploit one of the many public networks already available on the market; in order to avoid, in other words, that French banks or large companies end up using ethereum or bitcoins to make the most of the potential offered by fintech technology, so the French government is ready and willing to experiment with a CBDC. The central bank governor, therefore, stressed that France should become the first country in the world to issue a CBDC and provide an exemplary model to other jurisdictions and stated that:

There are numerous reasons to rapidly advance the issuance of at least one CBDC in order to be the leading global broadcaster and get the benefits associated with providing a central bank digital currency.

So saying, in a certain sense, France opens the tender for cryptocurrency war, a sort of new gold rush in which central banks could find themselves competing between gold by issuing the CBDC reputed to be more solid and reliable on the market; not exactly a far-sighted move, in my opinion, especially since the main purpose of the blockchain technology is precisely to allow the creation of global currencies released by every authority.

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Roberto D.
Roberto D.

Born, and still living, in Italy. Passionate about cryptocurrencies since I discovered ethereum in 2016 https://linktr.ee/robertod


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