Proposal aims to reduce the influence of North American companies in payments and is scheduled for launch by 2029
The European Parliament’s (Economic and Monetary Affairs Committee) approved this Tuesday (June 22, 2026) a plan to create online and offline versions of the digital euro. The (European Central Bank) intends to launch the currency by 2029.
The vote paves the way for final negotiations between the European Parliament, national governments and the European Commission. The project is considered essential by the European Union to reduce dependence on North American payment providers, such as , , , , and .
Rapporteur Fernando Navarrete Rojas (PPE, ES) stated: “With the single currency package, we are protecting citizens’ freedom to choose how to pay. We are strengthening access to and acceptance of cash, while making central bank money available in digital form. The digital euro will complement cash, never replace it. No one should be forced to abandon cash, and no one should be left without a safe, resilient and genuinely European digital payment option.”
The initiative was launched in 2021, but faced delays due to disagreements between national governments and within the European Parliament itself. This year, fears of excessive dependence on North American companies gave new impetus to the project.
The expansion of stablecoins, most of which are denominated in dollars and promoted by the president of the United States (Republican Party), has increased concern among European Union governments. Actions by the North American government also raised alarms among European authorities. Last year, the US imposed sanctions against ICC (International Criminal Court) judges, including Frenchman Nicolas Guillou, who was prevented from using his Visa credit card.
The European Commission’s original proposal dates from 2023. It took more than 2 years for Member States to reach a common position and then for Parliament to reach internal consensus. One of the main points of disagreement was the defense, by some legislators, of a solution developed by the private sector. The decision prevailed that the ECB will command the digital currency infrastructure.
Comparison with Pix
Just like the Brazilian Pix, the digital euro will enable transactions beyond the reach of dominant North American companies in the global market. Pix, however, is an instant payment system, not an electronic currency. In Brazil, the Pix infrastructure is public, operated by , just as the ECB will control that of the digital euro.
Navarrete reinforced that the creation of the digital euro will not eliminate the use of physical money. “The goal is not to push anyone into a specific form of payment, but to offer more options and preserve freedom of choice”these. “We want those who wish to continue using cash to be able to do so and that those who prefer digital means also have a safe European alternative provided by the European Central Bank”added Navarrete.
The ECB also commented on the decision. “We welcome the fact that the European Parliament’s ECON committee has defined its position on the single currency package, which will protect euro cash as legal tender and at the same time lay the foundations for the digital euro”the central bank said in a statement.
Before the definitive launch, the ECB will conduct a 12-month pilot phase to evaluate a beta version of the digital euro in real-world usage situations. Selected payment service providers licensed in the euro zone will participate in the test, as well as merchants chosen for the program.
