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European Parliament Backs Digital Euro With Online and Offline Use, Aligning With EU Governments

The vote triggers formal talks on a legal framework, paving the way for a 2027 pilot with potential issuance in 2029.

Overview

  • Lawmakers approved amendments signaling support for a central bank digital euro usable both online and offline, a shift from earlier calls to limit it to offline use.
  • The endorsement aligns Parliament with the Council and clears a negotiating mandate with the Council of the EU and the European Commission, though reported vote tallies differ across outlets.
  • ECB President Christine Lagarde told MEPs the central bank would not access personal data and that a digital euro would not replace cash, stressing a fully European payments infrastructure.
  • Supporters frame the project as bolstering EU monetary sovereignty and reducing reliance on non‑EU payment providers such as Visa and Mastercard, with policymakers also eyeing the dominance of dollar‑backed stablecoins.
  • Bank lobbies and some lawmakers remain wary over surveillance risks and potential disruption to banks’ business models, even as the ECB weighs moving to the next development phase.