Bank of Spain Approves Euro Token Test

The Bank of Spain has approved the Euro-backed token test of Monei, a fintech company operating in the country.

According to the news published today by Cinco Días, one of the country’s local media outlets, the central bank is expected to take 6-12 months. CBDC gave the green light to the pilot test. The euro-backed token trial will take place under the supervision of the Bank of Spain.

Monei will test the digital currency EURM named it. The EURM will be supported on a one-to-one basis in euro, with the reserve held by the country banks Caxiabank and Banco Bilbao Vizcaya Argentaria.

Monei CEO Álex Saiz Verdaguer confirmed the news and made the following statement:

“The future of payment systems will be in the digital space. This test is an opportunity to show Europe and the rest of the world how far we have come in this regard.”

The Bank of Spain announced last month that it has launched its CBDC program. Verdaguer emphasized that the European Central Bank did not contribute to the stablecoin test.

CBDC Studies Continue in EU

The ECB, the European Central Bank, announced that it is launching a two-year search for the digital euro in the summer of 2021. Since then, many drafts and working papers have been published for the CBDC. The union plans to launch the digital Euro in 2026.