The European Central Bank (ECB) yesterday published its first progress report on the development of a central bank digital currency (CBDC).
Emphasizing the importance of privacy, the ECB has implemented measures such as pseudonymization, hashing functions, and encryption to prevent individuals from being tracked through their transactions.
Furthermore, the ECB’s CBDC framework states that payment service providers cannot use consumer financial data for commercial purposes without the explicit consent of the person who generated the data.
The report also addressed the issue of offline transactions, outlining methods for supporters of these types of transactions.
