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ECB President Christine Lagarde on Crypto: 'We Want to Play an Active Role'

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Wed, 01/08/2020 - 17:40
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  • Christine Lagarde claims that a CBDC issued by the European Central Bank (ECB) could have major implications for the financial

Cover image via U.Today

Christine Lagarde, the President of the European Central Bank, recently mentioned that the ECB wants to play "an active role" in innovating the area of payments during her interview with French business magazine Challenges. She acknowledges that there "the urgent demand" for more efficient payment solutions, especially when it comes to transferring money between different countries.

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According to Lagarde, the ECB is currently assessing the costs and benefits of creating its own central bank digital currency (CBDC). They want to make sure that central bank money will still in use despite the gradual disappearance of physical cash. She also highlights that cryptocurrencies issued by central banks are not supposed to "crowd out" private solutions for digital payments.   

"We are looking closely into the feasibility and merits of a CBDC, also because it could have major implications for the financial sector and for the transmission of monetary policy."

In late 2019, the ECB created a special task force to determine how feasible it would be the issuance of a CBDC within the eurozone.

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Lagarde's interview comes after she highlighted the importance of adapting to financial innovations in late 2019. She also noted that there was a great demand for stablecoins that weren't actually addressed. 

Back in December 2019, the ECB also published a paper that presents a CBDC as a pan-European payment solution

"If industry efforts fall short of developing an innovative and efficient pan-European payment solution, the social need for it could potentially be met by issuing a CBDC."

As reported by U.Today, the Bank of France (Banque de France) is expected to start the trial of its own cryptocurrency in Q1 2020. 

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

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Ripple Unleashes One Bln XRP from Escrow, Community Expects Price to Drop

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Wed, 04/01/2020 - 08:27
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  • It is the first day of the month and Ripple has released one billion XRP from its escrow wallet. The community traditionally expects a price drop after such massive dumps

Cover image via stock.adobe.com

It is the first day of another month – this means that Ripple has lavishly thrown XRP from its escrow wallet – one billion coins. Since the start of 2020, this monthly dragon-sized amount was withdrawn in two portions of 500 mln XRP each.

XRP escrow
Image via Twitter

While the XRP price is in the green zone, trading at $0.173095 on CoinMarketCap, the comments under the tweets about the XRP release signify that the community is either indifferent (having got used to these releases already) or is expecting another price drop in the short term.

In January 2018, XRP, the third-largest cryptocurrency, reached an all-time high of nearly $3. Since then, XRP has been light years away from the ATH.

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Many skeptics say that the XRP price is not going to rise even in the long term, mocking those who remain faithful, holding bags of the coin.

As earlier reported by U.Today, many in the community believe that regular XRP releases made by Ripple prevent the price from rising and reaching at least $1. In 2019, a petition was set up on Change.org by crypto influencer ‘Crypto_Bitlord’ who wanted Ripple to stop dumping XRP.

Curiously, later on, another petition appeared on the same platform, requesting Ripple to accelerate the release of XRP in order to increase the coin’s adoption, which would assumingly lead to a massive price surge.

About the author

Yuri is a journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future. ‘Hodls’ cryptocurrencies. Has written for several crypto media. Currently is a news writer at U.Today.

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