🏛️ ECB urges swift EU action on digital euro amid rising tech competition

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The European Central Bank (ECB) has urged the EU to accelerate the legislative process for the digital euro, warning that delays could increase dependence on foreign payment systems and stablecoins. ECB board member Piero Cipollone emphasized the need for a legal framework by May 2026 to meet a 2027 launch target. Concurrently, eurozone finance ministers will discuss proposals to enhance the euro's global role through euro-denominated stablecoins and joint debt issuance on February 16. Private banks are also developing alternatives to U.S. payment giants amid these discussions.

Key points

• ECB warns delays in digital euro adoption risk dependence on foreign payment systems.
• Legislative framework needed by May 2026 to meet 2027 launch target.
• Eurozone finance ministers to discuss euro-denominated stablecoins on February 16.
• Private banks developing alternatives to U.S. payment giants amid digital euro discussions.

Links

• ANSA: Cipollone (Bce), ritardi su euro digitale aumentano dipendenza a stablecoin - Notizie - Ansa.it
• BFMTV: Il arrive quand l'euro numérique? Dans les cartons depuis 2020, il ne sera pas lancé avant 2027 au mieux et la BCE s'impatiente et s'inquiète de voir les Européens soumis à "la big tech non américaine"
• France 24: Euro numérique: la BCE presse l'UE d'éviter tout retard législatif
• Reuters: Exclusive: Euro zone ministers to weigh euro-stablecoins, more joint debt issuance to boost role of euro, economic security

Facts

• The digital euro has been under consideration since 2020.
• The ECB aims for a pilot launch of the digital euro in 2027.
• The European Parliament is expected to adopt its position on the digital euro by May 2026.
• Euro-denominated stablecoins currently account for less than 1% of the stablecoin market.

Quotes

• The time to act is now — Piero Cipollone
• Any delay in the legislative process could break the momentum of these joint public and private efforts — Piero Cipollone

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