European central banks work on digital currencies

ISTANBUL

The Swedish Central Bank and the Bank of England carry out researches on whether they should start issuing Central Bank Digital Cash (CBDC) and compete with bank credit as a means of payment.

International Movement for Monetary Reform-IMMR that operates in more than 30 countries gathered international experts, central banks, researchers and banks to discuss the projects and proposals for a sustainable money system as well as design of digital currencies on June 15.

Miguel Fernandez Ordonez- Former governor of Banco de España; Carl Andreas Claussen Senior Advisor, Central bank of Sweden and Martijn van der Linden Professor of New Finance at The Hague University of Applied Science discussed the topic.

Dr. Artuğ Çetin, who also attended the conference explained the studies of European Central Banks. "The system is producing Money and offering it as credit because today’s system is not working anymore. Today money volume is equal to credit volume. We’re only producing money by getting into debt. This is the main problem that creates financial crisis. This money system is overvaluing the prices of the assets. The overvalued assets create different crises: mortgage crisis, share crisis etc. Turkey is one of the potential countries that can change its money system and make its own money more valuable, especially in today’s situation as Turkey is in debt and its money lost value,” he said.