A study by the European Central Bank states that national digital currencies have a higher potential than bitcoin (BTC). Moreover, the CB tokens will be able to even push decentralized cryptocurrencies into the background in the future.
According to the regulator's analysts, CBDC will solve many problems that arise in the implementation of international financial transactions.
But commercial banks that act as intermediaries between senders and recipients of funds can also suffer. Therefore, a model of the least painful modernization of the payment infrastructure is needed.
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Bitcoin transactions are more complex in their mechanism than transactions with central bank tokens. Other than that, BTC has big performance issues. At the same time, for some reason, analysts did not consider it necessary to pay attention to the LN network and the Taproot update, which increase the throughput of bitcoin.
In mid-July, the ECB announced its intention to complete the development of the CBDC concept by the end of 2023. The regulator stressed that its analysts will form a model for the creation, testing, and phased introduction of the digital euro into the EU financial system.