A political agreement among EU finance ministers has brought the digital euro concept closer to reality, though significant hurdles remain. The compromise roadmap addresses key concerns, including giving ministers veto power over issuance and imposing holding limits to prevent financial instability.
The initiative, which would provide a public digital payment option alongside private money, is now headed for what promises to be a heated debate in the European Parliament. Even if the legislation passes by the ECB’s 2026 target, the technical implementation could take an additional three years.
This means the earliest possible launch for a digital euro is towards the end of the decade, underscoring the complexity of launching a pan-European digital currency.
