Spain's central bank approves euro-linked token pilot as part of sandbox initiative: Report

The fiscal sandbox ar of the Bank of Spain, oregon Banco de España, has reportedly approved a task from fintech steadfast Monei investigating a token linked to the euro.

According to a Jan. 18 study from Spain-based quality outlet Cinco Días, the Bank of Spain gave the greenish airy to Monei to contented its EURM token arsenic portion of a investigating signifier expected to past betwixt 6-12 months. The sandbox was aimed astatine establishing a controlled investigating situation for fiscal innovations projects successful Spain nether the supervision of cardinal slope authorities.

As portion of EURM’s investigating phase, eligible Spanish residents with a telephone fig volition reportedly beryllium capable to nonstop the equivalent of 10 euro utilizing the integer asset. The integer tokens volition reportedly beryllium backed 1:1 with carnal euro held astatine Banco Bilbao Vizcaya Argentaria and Caixabank.

"The aboriginal of payments is digital,” said Monei CEO and laminitis Álex Saiz Verdaguer. “This is our accidental to amusement the remainder of Europe and the satellite that we are astatine the forefront.”

The Bank of Spain announced the launch of its ain “exclusive” wholesale cardinal slope integer currency, oregon CBDC, programme successful December 2022. Though Monei’s task is not a CBDC issued by the European Central Bank, oregon ECB, Verdaguer said investigating it done Spain’s cardinal slope could laic the groundwork for specified a token:

“[The Bank of Spain] whitethorn beryllium down with the ECB and accidental that we person the product, that it is regulated and supervised and that it is shaped from there.”

Related: Cosmos EUR stablecoin task to unwind aft 2 years

The ECB announced successful July 2021 that it had launched a two-year probe signifier for a integer euro, suggesting astatine the clip a imaginable merchandise successful 2026. The cardinal slope has since issued statements and moving papers focused connected the plan and features of a CBDC, with the ECB Governing Council expected to reappraisal the results of the investigative signifier successful the 3rd 4th of 2023.