THE DIGITAL EURO - CONCEPT, FEATURES AND POTENTIAL ADVANTAGES AND DISADVANTAGES DIGITAL EURO

Abstract

The digital euro represents a new form of central bank money developed by the European Central Bank, in response to the rapid development of digital technologies, changes in consumer habits and the increasing use of private digital means of payment. The subject of analysis in this paper will be the concept and basic characteristics of the digital euro. Special emphasis will be placed on the reasons that led to the introduction of the digital euro in the first place. The paper also discusses the pros and cons of the digital euro and its impact on monetary policy, financial stability and user privacy.