German central bank: The optimal value for holding a digital euro could be between 1,500 and 2,500 euros

Joachim Nagel, the president of the German central bank, stated during a speech in Rome that it is currently unclear what the upper limit should be for consumers holding potential digital euros. Nagel cited research by economists at the European Central Bank, which suggests that holding 3,000 digital euros per person could effectively curb the impact on bank liquidity risk. However, the latest research by the German central bank shows that the optimal amount may be between 1,500 and 2,500 digital euros per person. He stated that careful study will be conducted to determine the best upper limit. Previously, Nagel had stated that technological innovation poses a challenge to central banks in the future, calling on officials to accelerate their adaptation, including the launch of digital currencies. The European Central Bank has entered the next phase of the digital euro project in 2023, preparing for the issuance of the currency in the coming years, but the final decision has not yet been made.