Cryptocurrencies
ECB’s Panetta Floats 3,000-Euro Limit on Digital Cash
- Board member speaks on CBDC in German magazine interview
- Sees chance for digital euro to become reality in 4-5 years
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Euro-area residents’ holdings of a future digital currency could be limited to 3,000 euros ($3,633) to prevent bank runs, European Central Bank Executive Board member Fabio Panetta suggested in an interview with Germany’s Spiegel.
Panetta insisted fears that digital currency initiatives could lead to systemic instability by offering consumers the safer alternative of storing money directly with the central bank were unfounded due to precautionary measures.