Deutsche Börse CEO Stephan Leithner is advocating for the establishment of a permanent digital euro as a cornerstone of the EU's financial reforms. In a policy paper dated February 15th, Leithner outlines a vision to transform the EU's capital markets union into a savings and investment union, emphasizing the digital euro's pivotal role within the EU's broader digital strategy.
Leithner stresses the importance of collaboration between the European Central Bank (ECB) and national central banks to fully leverage the potential of the digital euro within the region's capital markets ecosystem. He highlights the need for technological advancements in "cash on ledger" or "programmable payment systems" to ensure seamless integration of the CBDC with existing payment infrastructures.
Leithner believes a CBDC would streamline financial transactions and bolster the EU's economic autonomy. He also suggests that harmonizing key regulatory frameworks within the EU, such as MiCA, the AI Act, and DORA, could give the euro a competitive edge on the global stage. The policy paper does not delve into the technical implementation or regulatory frameworks.