the preparation of consolidated financial statements – while the sharing of information between jurisdictions will be essential to understanding their overall organisation as well as interdependencies between entities. the second deficiency concerns the ecosystem of what is often erroneously referred to as " decentralised " finance ( defi ) – what we prefer to call " disintermediated ” finance. the acpr is pioneering thinking in this area with the publication in april of a document that outlines possible regulatory frameworks for defi. the very successful public consultation process ended at the beginning of june. it was widely reported upon and generated almost 40 responses of high technical quality from both french and international players, including " established " players and new entrants. we will be publishing a summary of these responses in the autumn. overall, these contributions confirm our understanding of this topic and the regulatory avenues taking shape on each of the three defi'floors': ( 1 ) ensuring the resilience of the blockchain infrastructure – albeit a public one – through security standards ( 2 ) certifying smart contracts, even if this raises a number of operational issues, and ( 3 ) regulating defi entry points to protect users. so yes to the innovation brought by digital assets and defi - which is, let me repeat, very welcome in paris - but not at the cost of less regulation, which would - as we have seen elsewhere - work against the interests of the players themselves. ii. digitalisation of currency and payments : illustration of innovation partnership approach this brings me to the more forward - looking recipe, which provides a second insight into the dynamic interdependence between regulation and innovation, and between the public and private sector. private innovation is both crucial and irreplaceable but central banks also have creative dna, and many innovations page 4 of 6 are deployed within a partnership framework. money is a perfect illustration. for centuries, the coexistence of central bank and commercial bank money has structured the retail payment landscape. we can all physically pay with central bank money, using cash, or with commercial bank money, using non - cash payment instruments such as cards. however, the rapid digitalisation of payments is leading to a rethink : as we become fully digital societies, should central bank currency be the only thing to remain in paper format? i imagine that two centuries ago, certain people had major doubts about issuing banknotes - a major innovation at the time - alongside gold and silver coins. essentially

, the e - euro should be a digital banknote – in other words " cash + ". first, it should have the same properties as cash. in particular, it will guarantee respect for privacy, iii with offline functionality guaranteeing the utmost confidentiality. it will be the safest asset as it will have legal tender statusiv and it will be accepted everywhere throughout the euro area. its basic functionalities will be free for individualsv and it should not be remunerated. but " cash + " will also provide additional advantages over banknotes : it will allow everyone to use central bank money in e - commerce, for peer - to - peer payments as well as for conditional or " programmable " payments. these considerations have led the eurosystem – under the auspices of christine lagarde and my colleague fabio panetta - to launch an investigation phase focused on a digital euro, which should culminate in a preparatory phase by the end of 2023, subject to the agreement of the governing council. based on these preparations, we could then decide on a gradual launch, beginning in 2027 or 2028. last wednesday, the european commission published a draft directive to enable the issue of a digital euro. this legislative proposal is clearly a very good step in the right direction : it ensures that the digital euro will indeed be equivalent to a “ digital banknote ”, providing a high level of confidentiality, while guaranteeing that it is properly integrated into the financial and payments ecosystem. let us be clear here : i consider it our duty to develop this possibility for our citizens, however, they themselves will be free to use it or not. the digital euro will offer european citizens an additional option as to how they effect purchases page 5 of 6 and transactions ; they will determine both the pace of its development and its'market share '. a digital euro will replace neither physical cash nor other forms of currency – which brings me on to the so - called " competition " issue. we regularly hear an unfounded but very persistent rumour whereby the digital euro would compete with commercial bank money. let me be very categorical on this point : a digital euro will not lead to disintermediation. it would be distributed by payment service providers - we have absolutely no intention of opening private accounts - and be subject to a holding limit. our fellow citizens are in need of everyone ’ s expertise : both the agility and customer relationships of commercial banks and the confidence and stability guaranteed