Blockchain Alone Won’t Scale for Digital Euro, Villeroy Says

A European Central Bank digital euro for wholesale use is unlikely to be able to run on decentralized systems alone, according to Bank of France Governor Francois Villeroy de Galhau.

So-called distributed ledger technologies -- pioneered by Bitcoin -- are “still not mature enough” to handle large volumes of transactions, he said at an event in Paris on Tuesday. At the same time, the ECB must ensure that its current infrastructure for settling securities and payments will be made “interoperable” with those technologies so that its effort to promote the role of central-bank money isn’t made obsolete.

“Centralized and ...