{"id":59616,"date":"2025-10-31T05:20:23","date_gmt":"2025-10-31T05:20:23","guid":{"rendered":"https:\/\/www.threatshub.org\/blog\/europe-preps-digital-euro-to-enter-circulation-in-2029\/"},"modified":"2025-10-31T05:20:23","modified_gmt":"2025-10-31T05:20:23","slug":"europe-preps-digital-euro-to-enter-circulation-in-2029","status":"publish","type":"post","link":"https:\/\/www.threatshub.org\/blog\/europe-preps-digital-euro-to-enter-circulation-in-2029\/","title":{"rendered":"Europe preps Digital Euro to enter circulation in 2029"},"content":{"rendered":"

The Governing Council of the European Central Bank (ECB) has decided the bloc needs a digital version of the Euro, and ordered work that could see it enter circulation in 2029.<\/p>\n

Europe initiated a \u201cpreparation phase\u201d for a Digital Euro in November 2023. Yesterday, the ECB said that effort succeeded. ECB President Christine Lagarde said developing a Digital Euro will make the currency \u201cfit for the future.\u201d<\/p>\n

Asked why the European Union needs a Digital Euro, and if it is a solution in search of a problem, Lagarde said \u201cThe key points for me are : Money is a public good; central banks are the custodian of that public good; and central money issued by central banks has to have its digital form, because we’re moving into a different era where not everybody will want necessarily to have banknotes.\u201d<\/p>\n

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Two thirds of digital payments in the Euro area are intermediated by non-European companies<\/p>\n<\/blockquote>\n

A digital currency would also reduce the European Union\u2019s reliance on payment service providers from outside the bloc.<\/p>\n

Fabio Panetta, Governor of the Bank of Italy, pointed out that European banks represent only a third of digital payments activities within the Eurozone, and that \u201cTwo thirds of digital payments in the Euro area are intermediated by non-European companies, both for digital payments at the point of sale and digital payments online.\u201d<\/p>\n