By
Tolu Ajiboye
April 17th, 2024
The Queen declared her support for the digital euro while speaking virtually at a conference organized by the European Commission.
Another prominent personality, the Queen of the Netherlands, has declared her support for the rollout of the digital euro. The president of the European Central Bank, Christine Lagarde, has always been vocal about her confidence in the digital currency and its potential. Notably, the central bank has been working earnestly towards creating the digital euro, including a two-year investigation into the currency, which started in October 2021. The Queen of the Netherlands, Máxima Zorreguieta Cerruti said she was motivated by the efforts of the ECB and its accomplishments over time concerning the launch of the digital euro.
Queen Máxima of the Netherlands Supports Digital Euro
The Queen declared her support for the digital euro while speaking virtually at a conference organized by the European Commission. Titled “Toward a legislative framework enabling a digital euro for citizens and for businesses,” the event happened on the 7th of November. She spoke about how the central bank digital currency (CBDC) can address specific challenges in the traditional financial space. The Queen noted that traditional financial services had created hindrances to inclusion. Namely, they are minimum account balances, transaction fees, and loads of document requirements. According to the Netherlands Queen, the digital euro can help tackle these problems by encouraging financial services providers to reduce costs and broaden access. At the same time, CBDCs will incorporate safety, liquidity, integrity, and other “advantages of central-bank money.” The Queen of the Netherlands spoke further on how the digital euro will impact financial services.”
“Central banks already coordinate improvements to retail payments by adopting fast payment systems, and CBDCs may represent the next step. CBDCs could aid in upgrading and connecting payment systems- both domestically and across borders. This could help cut the cost of remittances.”
After stating the advantages of CBDCs like the digital euro, the Queen added that policy reforms and safeguards must accompany implementation. According to her, this would help address difficulties and risks. Queen Maxima mentioned overcoming low financial and digital literacy levels, cybersecurity, and other operations issues.
“Policy reforms should also prevent disintermediation: the danger that money will be held in large amounts in CBDC wallets, rather than as deposits in commercial banks which could make it unavailable for lending, for working capital for small entrepreneurs, or mortgages.”
She concluded her speech by acknowledging the ECB’s efforts in partnering with other European institutions. The Queen said partnerships could result in better design choices. She emphasized the need for financial inclusion, integrity, and stability.
Queen Maxima boldly called on all to support the development of a digital euro that works for all Europeans.