Will French Central Bank Really Propose XRP As A Model For Digital Euro?

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Last Updated on 11 March 2021 by CryptoTips.eu

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A recent document on Central Bank Digital Currencies prepared by two university professors for CPA Australia (one of the largest professional accounting bodies in the world, with more than 168,000 members in over 100 countries and regions) gave some interesting information for the XRP community.

Hidden deep inside it was the notion that the Central Bank of France had directly contacted Ripple Labs in order to check whether XRP could serve as a model for a digital currency.

Given that France is one of the founding members of the Euro currency and the current European Central Bank president is a French citizen called Christine Lagarde, a detail that could have severe implications.

Advertentie.

Comparative review

The report, entitled Central Bank Digital Currencies: a comparative review, informs the group of accountants as to what they may expect in the future as governments around the world.

It is nothing spectacular except for a read-through in fact, but then you find a note on page 16 that reads:

France’s central bank, Banque de France, has openly discussed Ripple/XRP as a possible platform for Europe’s central digital currency.

It then goes on in the text to say that: 

Ripple and XRP enjoy the trust of many banks as a model for CBDCs because it is highly centralised and is based on a permissioned network where only certain network nodes can validate transactions, as opposed to decentralised and permissionless Bitcoin and Ether.

If you combine this news with the fact that Christine Lagarde, the current European Central Bank President and the former Finance Minister of France, is currently studying CBDCs in order to find a suitable platform for a digital euro. And that she has excellent relations with the French banks itself, it is not too surprising that Ripple could have a golden future in Europe if all falls into place.

Of course, all this is dependent on the fact that Ripple and the SEC find some sort of agreement in order to get out of their current court case.

Looks like CEO Brad Garlinghouse has one more reason to settle soon.