E-money revolutionizes monetary policy and reshapes financial development worldwide.
Electronic money (e-money) could become a major currency in the future, affecting how monetary policy works. If e-money use grows a lot, central banks may need to change how they operate and work more closely with fiscal policies. The size of monetary unions might also need adjusting. But for now, the current level of e-money use isn't a big risk to the financial system. Central banks can still achieve their monetary policy goals successfully.