Digital euro, yes from the European Parliament: push for EU sovereignty

European Parliamentsupports the projectdigital euro: the Plenary session approved by a large majority two motions which push for the adoption of the new currency, underlining how it favors “monetary sovereignty” EU. A detail that is not secondary, especially in a difficult situationgeopolitical tensions.

Both texts, an initiative of the M5s MEP Pasquale Tridico and supported by 48 other elected officials, passed with ahigh consensusalso by a large segment of the Popolari, who until now had remainedmore cautiouson the initiative. A vote that therefore appears as astrong signalto continue with the initiative.

Digitalization of payments and inclusion

One of the two amendments recalls that the growingdigitalization of payments“if left exclusively to private and third-country actors, risks creating new forms ofexclusion” for users and merchants. Thedigital euro online and offlinethe motions highlight, should “contribute to safeguarding theuniversal access to payments“.

Timing for issuance

In October 2025 theEuropean Central Bankhas launched a new step forward in the development ofdigital euro. The objective, if the regulation is completed as scheduled and the entire Eurosystem is ready, is to arrive at a firstissuance during 2029.

Next steps and regulation

The next steps involve giving the green light to the text ofregulation of the digital euroby the Econ Commission at the beginning of May, while the approval from the Plenary could arrive at the end of the month. Subsequently, dialogue is expected between Parliament, the EU Commission and the Council to find mediation and arrive at thedefinitive green light. Gli credit institutionswill have two years, starting from when the regulation is drawn up, to be able to prepare to adopt thedigital euro. Independentlyfrom the regulatory phase, it is expected that thepilot project parta dal 2027.

How the digital euro will work

But how would it work?new currency? For example, by withdrawing 100 euros from an ATM, the amount instead of being paid in cash will be converted intodigital euros. After creating adigital euro walletsat their bank, or through a designated public office, such as the Post Office, users will be able to top up an amount via a linked bank account or by depositing cash. At this point the user can start paying with thedigital euros dal loro intangible wallet. They would therefore be guaranteeddigital euro payments – in physical shops, online, between private individuals – safe and instant.

Holding limit and financial stability

The working hypothesis ofBCEcurrently would be to establish a maximum of3 thousand euros in digital eurosthat any natural or legal person could hold in their ownwallet digitalso as to avoid excessiveoutflow of deposits from bankswhich could compromise thefinancial stability.

Reliability and security of digital currency

La currency digitalwas designed to guarantee paymentsreliability and safetyalso given the pitfalls that the market presentsunregulated electronic currencies. So far thepreparatory work ha fornito encouraging results.

Benefits for banks

Piero Cipollone, member of the ECB Executive Committee involved in the project, underlinedseveral times come le bankswill benefit from the transition to thispayment solution grazie ai savings on commissionswhich can be distributed among banks and merchants.