The central bank of Spain (El Banco de España) has just approved the pilot project which will last one year to test the euro digital currency: EURM.
This is an experience in which a small group of people will be able to access the token in question and carry out different operations. These same people will have to download a specific wallet and follow a rigorous KYC procedure. Those selected will also need to use the Spanish payment app Bizum to transfer their traditional euros to the new crypto wallet.
It’s Spanish fintech Monei who will be in charge of the creation and technical management of the token.
This experience then aims to get as close as possible to the future uses of the EURM crypto. Participants will be able to deposit their FIAT currencies into designated bank accounts within BBVA and CaixaBank. All tokens will be backed 1:1 with euros.
After a year of experience, the Spanish central bank will be able to decide whether or not it officially authorizes EURM crypto.
EURM is not the only cryptocurrency backed by the euro
If Spain formalizes the creation of the EURM token, you should know that this would not be the first cryptocurrency backed by the euro. We can cite the EUROC of Circle, theEURS of Satis or the EURT created by the company Tether. In the case of the EURM, it would then be the European Central Bank which would control the issuance of the currency.
However, according to the CEO of Monei, the EURM stablecoin could even serve as a basis for consideration for a potential future token of the European Central Bank.
The experience of the European Central Bank clearly proves that MNBCs are gaining ground in all countries around the world. Most likely, this also heralds the establishment of a future European digital currency…
See also:
->Which countries have launched their MNBCs and those who are working on them?
