The European Central Bank (ECB) said it is looking to develop a way to solve distributed Ledger technology transactions (DLT) with fiduciary currency as it expands its work in the key feature that supports the block chain and cryptocurrencies.
The bank plans a two -stage approach to use technology, which is a decentralized database that is maintained and updated independently by individual participants in a large network. First, it will develop a system linked to its existing destination liquidation system. Target guarantees “the free flow of cash, values and guarantees throughout Europe,” he said.
“This is an important contribution to improve the efficiency of the European financial market through innovation,” said the member of the Executive Board Piero Cipollone, who supervises the initiative, in a statement on Thursday.
The bank will also seek a more integrated long -term form to resolve transitions based on DLT in fiduciary money, which will include a currency agreement.
The ECB has been exploring digital currency technology since 2023. The initiative will be based on the exploratory work that invited the interested parties of the financial market to explore “wholesale financial transactions recorded on distributed accounting book technology platforms that will be resolved in the money of the Central Bank “.
A timeline in the bank’s plans will be made public later.
