implications. deposits, as all forms of money, perform the dual function of means of payment and store of value. the key to prevent undesirable effects without sacrificing the benefits is to design the digital euro in such a way that it is used primarily as a means of payment and not as a store of value. we are working on two main fronts to achieve this goal. first, we are developing quantityand price - based tools – including effective limits to the amount of digital euro individual users can hold and penalising remuneration on individual users ’ digital euro holdings above a certain threshold – to limit bank disintermediation. second, we are implementing a frictionless integration of the digital euro infrastructure with bank deposits through funding and defunding services of digital euro holdings. in this way, users will not need to transfer large amounts of their liquid savings from bank deposits to digital euros in order to use the cbdc for their daily activities. the strong involvement of the private sector is a key success of digital euro. in fact, a public digital currency can benefit from experience and best practices in the market as well as the end user orientation of supervised intermediaries which eurosystem neither has nor intends to cover. given those considerations, the external stakeholders engagement in the construction of the project is crucial and, therefore, it has been intensified. a structured process has already been undertaken with the involvement of the euro retail payments board, through a number of dedicated sessions to receive feedback from the market on the most important points of the project. this dialogue is in addition to the work of the market advisory group ( mag ), a group of 30 senior business professionals with proven experience and a broad understanding of the euro area retail payments market experts, which was established at the start of the investigation phase, and is playing an important advisory role for the eurosystem by bringing in the industry's point of view. in particular, the mag places great emphasis on the value that a digital euro could bring to all the players who are part of the euro area's diverse payments ecosystem. digital euro needs to be adopted by people for a central bank to be able to achieve its objective. thus the possible issuance of a cbdc must take in duly consideration not only the financial system ( the supply side ) but also the potential users. on this point the eurosystem has always in mind that : to be accepted, a digital euro should provide a benefit to users. a research (

improve international payments. they can make use of the fact that retail users have direct claims on central bank money to simplify the monetary architecture. however, design features matter for their overall impact in the cross - border context and whether cbdcs will serve the broader public interest. the multi - currency dimension is also a relevant aspect for the digital euro. the experience already garnered by the eurosystem within the target services context clearly suggests that building a multi - currency ledger comes certainly with some costs, but implies as well a number of significant benefits, such as harmonization, interoperability, flexibility and even potential cost savings. in addition, it is worth highlighting that the possible provision of a digital euro also involves the european commission and it is also potentially relevant for eu countries that are not part of the eurozone. for this reason, it seems also important to consider the needs, expectations and concerns of those countries. iii. favor a pan - euro area reach while promoting of a level playing field when looking at the euro area case we have an additional opportunity. as stated in the eurosystem ’ s retail payment strategy, one of the mail goals is to support the creation of a pan - european solution for retail payments at the point of interaction ( poi ), covering physical shops and e - commerce. there is currently no european solution for those payments, which still highly rely on international card schemes and – for e - commerce – on global big tech providers. the digital euro, if issued, could enable the achievement of this important goal, by ensuring a pan - european reach. this would be a key element, as emerged within the focus groups, the ability to “ pay anywhere ”. indeed, the respondents from all countries and different identified groups perceive this as one of the most relevant features of a digital euro. the payment segments identified as a ‘ priority ’ in the initial releases of the digital euro ( ecommerce, point - of - sale, person - to - person and payments from or to government institutions ) would help addressing the criticalities associated with the currently limited pan - euro area retail payment solutions. in addition, there is also the competition issue in the payment sector. usually private players tend to dominate and create positions of competitive advantage by exploiting the benefits of the network effect. the formation of these dominant positions can develop rapidly and create risks of market abuse behavior. a cbdc could therefore be a benefit as it could improve an efficient and competitive payments market, reducing the possibility for