ECB eyes 2029 for digital euro launch

The European Central Bank (ECB) plans to continue working on the digital euro project after the current preparatory phase concludes this ￰0￱ the move, the central bank prepares for the launch of a digital euro in four ￰1￱ a meeting held in Florence, Italy, this week, the ECB’s officials decided to continue the preparatory ￰2￱ the meeting, they outlined their goal to introduce the currency by 2029, assuming a legal framework exists, said sources familiar with the ￰3￱ Executive Board member Piero Cipollone stated that the bank would require approximately 2.5 to 3 years after legislative approval to implement the ￰4￱ strides in technical preparations, EU legislators have yet to reach an agreement on significant design features, such as user holding limits and privacy measures, that raise concerns about their impact on commercial ￰5￱ simulations have shown that high holding limits would prompt a shift of as much as € 700 billion from bank deposits to digital wallets for the ￰6￱ ministers recently agreed on a roadmap for launching the digital euro, but disagreements among member states over costs, banking-sector risks, and the currency’s design continue to slow ￰7￱ President and others call to address a deadlock in the EU In 2023, central bankers initiated a two-year preparation phase for this ￰8￱ this time, they were optimistic that the EU would establish the required regulations to launch a digital version of cash, according to sources.

However, after researching the matter, they discovered that the national governments and the European Parliament have not yet reached an ￰9￱ situation prompted analysts to conduct a root cause analysis, revealing that the biggest challenge comes from the European People’s ￰10￱ to them, some lawmakers in this political party choose to seek a private-sector solution rather than using the ECB’s digital plan . Nonetheless, there is increasing pressure to address this deadlock as lawmakers raise concerns about relying heavily on US firms, such as PayPal, Mastercard, and Visa, as means of payment in everyday ￰11￱ factor that has triggered this discussion is mounting anxieties that dollar-backed stablecoins linked to US President Donald Trump could become popular in ￰12￱ the intense nature of the situation, ECB President Christine Lagarde and other officials are urging swift action to enhance the central bank’s strategic ￰13￱ say this will be addressed in Thursday’s communication this ￰14￱ reporters reached out to an ECB spokesperson for comment on the topic, the representative chose not to provide any ￰15￱ ECB embraces the development of a wholesale central-bank digital currency Regarding the launch of a digital euro, sources familiar with the situation, who wished to remain anonymous, pointed out that Cipollone initially mentioned a potential launch date during an event in ￰16￱ a statement, he suggested that the middle of 2029 could be a perfect ￰17￱ the current preparation phase, reliable sources have hinted that it will follow two years of ￰18￱ was after the Italian official acknowledged that he was pleased with this breakthrough, as finance executives in the euro area agreed on how to set limits for customer ￰19￱ also recognized some positive progress in the sector, stating, “The talks among member states are going very well.” This meant that by early May next year, the parliament’s stance will be made known to the public, he said, further highlighting that, “We aim to reach a common agreement among member states, which they refer to as a general approach, by the end of the year.” In the meantime, sources have noted that the ECB is paying more attention to developing a wholesale central-bank digital ￰20￱ July, it approved a plan permitting transactions using distributed ledger technology (DLT) to be settled with central bank ￰21￱ Bybit now and claim a $50 bonus in minutes