what we have observed is that two - thirds of all fraud losses on cards issued within sepa countries is related to cnp transactions. this fraud involves card payments for purchases made via the internet, the phone network or by email. hence, the adoption of appropriate mitigation measures, such as the implementation of strong customer authentication, is indispensable to avoid a further rise in cnp fraud in the single euro payments area. the guidelines on the security of internet payments of the european banking authority ( eba ) published in december 2014 impose a minimum set of security requirements to be implemented by payment service providers. these guidelines are themselves based on the recommendations issued by the european forum on the security of retail payments ( secure pay ). accordingly, i encourage all participants – not only payment service providers but also e - merchants – to keep up their efforts to improve the protection of internet payments and swiftly adopt strong authentication solutions. the drawing up of level 2 regulatory technical standards and guidelines by the eba, in close cooperation with the ecb, will provide the market with further guidance on security issues related to internet payments. impact of innovation on cards as i have said in the introduction, the emergence of innovative payment solutions will impact payment behaviour and the usage of cards and other traditional payment instruments in the years to come. innovative card - based solutions for contactless proximity payments, ecommerce wallets or mobile person - to - person payments have the potential to further boost card usage by replacing cash payments, particularly vis - a - vis person - to - person payments and small purchases. at the same time, the card industry will be challenged by strong competition from innovative payment solutions based on payment instruments other than cards. one of these challenges is instant payments. the erpb has decided that the european payments council should develop an instant payment scheme for euro payments that is based on the sepa credit transfer. with regard to e - commerce, another challenge arises from the emergence of new payment service providers. payment initiation services and online payment integrators are expected to enter the payments chain with their service offerings. then there is the challenge of distributed ledger technologies. these technologies, of which blockchain is probably the best - known example, can potentially have a profound impact on the bis central bankers ’ speeches whole financial “ ecosystem ”. their adoption has the potential to disrupt both the use of “ traditional ” payment instruments and services and the payments processing industry. the eurosystem welcomes more choice for consumers and

and the state. second, legal provisions to facilitate debt restructuring agreements by reducing the liability of the individuals involved. and third, after many delays, a framework for electronic auctions for the recovery of claims. an electronic auction platform has become increasingly important as physical auctions have essentially come to a standstill, which has caused significant losses for creditors, debtors and the economy as a whole. let me now briefly turn to the liability side of banks ’ balance sheets. deposits are the cornerstone of any sound banking system. a stable deposit base allows banks to engage in maturity transformation and to extend credit to the real economy. so far, however, there is no evidence of a sustained return of private deposits in greece. since the summer of 2015, when capital controls were imposed, private sector deposits have only recorded a modest 2. 5 % increase. they remain some 25 % below their levels at the end of 2014 before deposit outflows accelerated noticeably. the upshot is that greek banks still rely to a significant extent on central bank funding. although recourse to our facilities, including emergency liquidity assistance, has fallen from 41 % of total assets in june 2015 to around 21 % of assets today, total central bank funding still amounts to more than 35 % of greek gdp. part of the reduction in central bank funding is attributable to improved access to wholesale financing. this is certainly good news. greek banks have gradually returned to the interbank market and were able to perform repo transactions with a wide range of mostly international counterparties – also thanks to the ecb, in june last year, reinstating the waiver affecting the eligibility of greek government - related assets for eurosystem monetary policy operations. 2 / 4 bis central bankers'speeches but for credit to become a vital source of economic growth in greece again, a lot will depend on banks being able to regain the trust of private depositors and rebuild stable funding lines in wholesale funding markets. of course, this is not only in the hands of banks. broader macroeconomic stabilisation is essential, as i will explain in a second. but banks need to contribute actively to this process by making further progress in repairing the asset side of their balance sheets – that is, by reducing the amount of non - performing loans. debt sustainability and the public sector purchase programme restoring confidence, of course, also means dispelling uncertainty about the sustainability of greek government debt – and this brings me back to my opening remarks. i think we