Deputy Governor of the Central Bank of #Norway (Norges Bank) Pål Longva announced that the regulator will decide on the launch of its own digital currency (#cbdc ) by the end of next year.

The official said that Norges Bank is trying to keep up with central banks in other European countries by studying and testing state-owned stablecoins. The #centralbank is now studying retail and wholesale versions of the future digital Norwegian krone. The retail CBDC will be available to individuals for everyday use, while the wholesale version should simplify and speed up transactions between financial institutions.

Longva said that many central banks have recently focused on the wholesale model because of its possible advantages for the banking system, and Norges Bank will also focus its efforts in this direction. According to the official, smooth implementation of retail CBDC will require cooperation with commercial banks and other stakeholders. Therefore, the Norwegian central bank is still assessing the potential challenges and obstacles that may arise with the retail digital krona.

"We are keeping pace with many central banks as we explore complex technical issues. We still have a lot to consider and evaluate, so right now we do not see an urgent need to launch a state-owned stablecoin,” Paul Longva said.

The pilot project to test the digital krona, which has been in development for more than two years, is in its so-called fifth phase. In 2022, the Norwegian financial regulator launched a sandbox to test the CBDC to see if it could ensure the stability of the state currency and the financial system.
#USJoblessClaimsDip

The European Central Bank dismisses #Bitcoin as a "speculative asset" and reaffirms its commitment to the development of a Digital Euro (#CBDC ). ECB Executive Director Isabel Schnabel emphasizes the differences and outlines the cautious approach towards #Cryptoassets

💬 ECB's Stance: Schnabel, speaking through the ECB X account, clarifies that the #centralbank has no plans to purchase $BTC , categorizing it as a speculative asset that lacks the characteristics of money. The ECB remains focused on its exploration of a digital euro
Digital Euro Development: Schnabel underscores the ECB's commitment to the digital euro, aiming for a fast, easy, and secure instrument for daily payments. The ECB sees this digital currency coexisting with physical #money , not replacing it, in efforts to adapt to an evolving financial landscape
🔍 Lack of Intrinsic Value: The ECB cites concerns over crypto-assets, emphasizing their perceived lack of intrinsic economic value, high volatility, and speculative nature. Schnabel notes that Bitcoin's market valuation is driven purely by speculation
🚫 Bitcoin Rejection: Schnabel explicitly states, "The ECB is very unlikely ever to buy BTC reinforcing the central bank's stance on steering clear of the leading cryptocurrency. The ECB's strategic vision aligns with a regulated and controlled digital euro
🚀 Digital Euro Benefits: The ECB aims to launch the digital euro in 2026, under strict regulatory supervision. Schnabel highlights its potential as a widely accepted, secure, and privacy-respecting payment option. The digital euro is positioned to coexist with traditional cash
🤨 Privacy Concerns Addressed: Schnabel dismisses concerns about personal privacy related to the digital euro, asserting that it would offer an additional, ECB-backed payment option while meeting the highest privacy standards, akin to physical cash
In summary, the ECB's cautious approach to Bitcoin aligns with its strategic focus on developing a regulated and controlled digital euro. The central bank aims to address evolving financial needs while maintaining privacy standards and steering clear of speculative assets