Vocal opposition to the European Central Bank’s (ECB) digital euro project reportedly swelled after the institution’s payment system crashed last month.

TARGET2 (T2), the ECB’s real-time gross settlement system, went down in late February, which prevented payments from being processed for several hours.

Now, some members of the European Parliament, a legislative body of the European Union (EU), are pointing to the crash as potential evidence that the ECB isn’t ready to launch a digital euro, per a new report from Reuters.

German MP Markus Ferber, a member of the European People’s Party, says the outage was “a blow to the ECB’s credibility.”

“People will ask legitimate questions how the ECB will be able to run a digital euro when they cannot even keep their day-to-day operations running smoothly.”

The European Union’s central bank has been pushing for a digital euro to counter US President Donald Trump’s embrace of dollar-pegged private sector stablecoins.

ECB board member Piero Cipollone said at a conference in January that Trump’s new executive order on crypto could drive people away from banks.

“I guess the key word here (in Trump’s executive order) is worldwide. This solution, you all know, further disintermediates banks as they lose fees, they lose clients… That’s why we need a digital euro.”

 

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The post Mass Banking Outage Sparks Doubts on EU’s Planned Digital Euro: Report appeared first on The Daily Hodl.

Vocal opposition to the European Central Bank’s (ECB) digital euro project reportedly swelled after the institution’s payment system crashed last month.

TARGET2 (T2), the ECB’s real-time gross settlement system, went down in late February, which prevented payments from being processed for several hours.

Now, some members of the European Parliament, a legislative body of the European Union (EU), are pointing to the crash as potential evidence that the ECB isn’t ready to launch a digital euro, per a new report from Reuters.

German MP Markus Ferber, a member of the European People’s Party, says the outage was “a blow to the ECB’s credibility.”

“People will ask legitimate questions how the ECB will be able to run a digital euro when they cannot even keep their day-to-day operations running smoothly.”

The European Union’s central bank has been pushing for a digital euro to counter US President Donald Trump’s embrace of dollar-pegged private sector stablecoins.

ECB board member Piero Cipollone said at a conference in January that Trump’s new executive order on crypto could drive people away from banks.

“I guess the key word here (in Trump’s executive order) is worldwide. This solution, you all know, further disintermediates banks as they lose fees, they lose clients… That’s why we need a digital euro.”

 

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: Midjourney

The post Mass Banking Outage Sparks Doubts on EU’s Planned Digital Euro: Report appeared first on The Daily Hodl.