ECB Study: Digital Euro Could Drain 700 Billion Euros from Banks During Crisis
By
thm
Pure flour-power. Hearty enough to carry you through lunch.
Summary
A European Central Bank simulation study reveals that a digital euro could potentially drain up to 700 billion euros ($810.88 billion) in deposits from commercial banks during a financial crisis, pushing around a dozen euro zone lenders into liquidity problems. The research highlights the systemic risks associated with introducing a central bank digital currency and its potential impact on the stability of the banking sector.
Key quotes
· 3 pulledA digital euro could drain up to 700 billion euros ($810.88 billion) in deposits during a run on commercial banks
pushing around a dozen euro zone lenders into a liquidity squeeze
a European Central Bank simulation showed on Friday
You might also wanna read
Sweden's GDP Shrinks 0.2% in Q1, Supporting Riksbank's Rate Hold Stance
Sweden's economy contracted by 0.2% in Q1 2025, the first quarterly decline in a year, matching analyst expectations. This economic slowdown
bloomberg.com·3d ago
Fed's Kashkari: Inflation fight takes priority over labor market concerns
Minneapolis Federal Reserve President Neel Kashkari stated that reducing inflation remains the Fed's top priority, as consumer prices are st
cnb.cx·4d agoFed's Kashkari: Inflation fight takes priority over labor market concerns
Minneapolis Federal Reserve President Neel Kashkari stated that reducing inflation remains the Fed's top priority, as consumer prices are st
cnb.cx·4d ago
住信SBIネット銀行、最終日に元金50%一括返済の住宅ローンを開始 対象は1億円以上の高級マンション
住信SBIネット銀行が、返済最終日に元金の50%を一括で支払う新しい住宅ローン商品の取り扱いを開始した。このローンは、返済期間中にマンションを売却し、その売却益を一括返済に充てることを想定しており、毎月の返済額を通常より約28%抑えられる。対象は東京23区や横浜市などの1億円以上
ExxonMobil VP warns crude oil prices could reach $160 per barrel amid record low inventories
ExxonMobil Senior Vice President Neil Chapman warned at the Bernstein Conference that crude oil prices could surge to $160 per barrel in the
bit.ly·1h ago
Bavaria's Chiemgauer: A regional currency that started in a high school and now helps cut carbon emissions
The article describes the Chiemgauer, a regional complementary currency used in Bavaria's Chiemgau region by about 4,200 people and 300 busi
briefly.co·1h ago