The central bank had earlier invited applications from reputed tech firms for the use of a digital euro. Banque de France, at that time, has stated that it would choose a maximum of 10 CBDC related apps with unique features.
Currently, the French central bank has joined hand with eight firms on their suggested trials “over the coming months,” intending to study “new methods of exchanging financial instruments.” Furthermore, the trial ventures will attempt to demonstrate that CBDCs can be issued and utilized for cross-border remittance.
Importantly, Banque de France appears to be studying wholesale instead of retail uses of digital euro, implying that the CBDC is structured for “interbank regulations,” and not for consumer use.
France is leading the initiatives related to CBDC trials so far. Back in May, France turned out to be the first nation to effectively pilot a digital euro on a blockchain as portion of its continuing venture with Societe Generale.
Even though there is no evident that the experiment of France with CBDC will be piloted across the EU, still, it should be noted that its central bank has been selected to advance the Euro financial system, with assistance from Deutsche Bundesbank, by the worldwide “BIS Innovation Hub” network for International Settlements.