ECB Executive: Commercial Banks Need to Issue Fully Digital Private Currencies

Jinse Finance reported that a senior policymaker at the European Central Bank stated on Wednesday that commercial bank money will be fully digitalized in the future, just like central bank money, and both will continue to serve as pillars of the monetary system. As financial assets increasingly exist in digital or tokenized forms, discussions about the future of the "two-tier monetary system" connecting central bank money and private money are heating up. Some experts warn that stablecoins may undermine a fundamental principle: that all forms of money, regardless of the issuer, should be exchanged at par and be mutually interchangeable.