The ECB invites you to a workshop on the future of B2B payments, where the need for digital currencies and the prospects for using CBDC in the corporate environment will be discussed.
The European Central Bank (ECB) has announced a workshop on the future of business-to-business (B2B) payments.
The current focus of work on the digital euro, a central bank digital currency (CBDC), is on personal and government payments. A separate ECB initiative exploring the use of distributed ledger technology (DLT) and central bank money settlements in the wholesale market is aimed at financial institutions. As a result, the B2B sector has been left out, and the ECB wants to find out whether corporate customers have a need for central bank money.
While the digital euro may not initially cover B2B payments, work on a central bank digital currency is likely to have influenced the timing of the workshop. One of the issues discussed will be the limit on how much the digital euro can be held. This is because the ECB is currently engaging with the market to determine these limits.
An additional factor for holding the workshop could be the German project to develop a commercial bank token (CBMT), which recently completed proof of concept and is preparing for the next stage. A wholesale CBDC could help with settlements between banks.
The ECB is also interested in exploring the potential for CBMT and stablecoins to be used in the corporate environment. In particular, the ECB wants to understand potential use cases for these technologies, which include programmable payments for smart factories, the Internet of Things (IoT) and advanced manufacturing, as offered by CBMT. For example, a pay-as-you-go model for equipment is being considered.
The ECB is seeking to understand why existing commercial bank money cannot meet the needs of businesses for digital payments and whether there is a need for access to central bank money.
Author's opinion: The ECB is creating smart contracts – a technology that has been used in cryptocurrencies for 9 years. It is all presented as know-how. In countries such as China, a digital yuan has already been piloted, and EU is still thinking whether business needs it. I wonder: why is the development of the fintech sector in the EU moving so slowly? It seems like there is one currency. And a common parliament. But something is not going well for the guys.
P.S. Representatives from the European corporate, banking and payments sectors wishing to present their views during the workshop are requested to submit an application together with a completed application form, by address The email address is being protected from spambots. You need JavaScript enabled in your browser to view it. until September 13, 2024.
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