The digital euro still divides Europe, despite an agreement in principle

The digital euro, this project that the BCE barons carry like a standard, does not escape criticism. The finance ministers have found a compromise in Copenhagen and advance a calendar. Dates are already circulating: 2026 for legislation, 2029 for a possible launch. However, between skeptics and supporters, nothing has yet been engraved in marble. For some, this is a step towards European sovereignty. For others, a tool that no one really needs.

Political agreement, but Euro digital still in suspended

In addition to the hypothesis that a digital euro may one day be deployed on Ethereum and Solana, European finance ministers adopted a roadmap giving body to the project. This compromise imply that the Member States will have a say on the program and on the detention ceilings. Behind the staging of unity, the agreement is mainly similar to a precaution to calm the markets and contain criticism.

Fernando Navarrete, rapporteur of the European Parliament on the subject, remains fiercely opposite. He has published a detailed report where he alerts for risks. According to him:

In the midst of the changing speech of the ECB, the possible risks linked to a digital euro – as the destabilizing effect it could have on financial stability, the concerns in the confidentiality of data which aroused significant public debate, as well as the allocation of additional responsibilities in fields such as the prevention of fraud and the fight against money laundering – must be carefully evaluated.

Source : The Block

The ECB wants to move forward, but political and technical dissensions weigh heavily on the project.

Financial inclusion or threat to banks?

For its supporters, the digital euro or e-euro would be a social advance. It would allow each citizen, even not banished, to have a digital portfolio directly backed by the ECB. The promise is attractive, but reality remains more complex.

The ECB mentioned a ceiling of € 3,000 per individual. Problem: too low, the threshold discourages adoption. Too high, it weakens traditional banking deposits and risks fueling “digital runs”. The dilemma is deep: offer a modern tool without weakening the role of banks.

Christine Lagarde defends a strong political vision:

The digital euro is not only a means of payment, it is also a political declaration concerning the sovereignty of Europe and its ability to manage payments, including on a cross -border basis, with European infrastructure and solution. Between inclusion and concerns, the debate remains open and passionate.

Digital Euro and CBDC: a high -risk geopolitical game

The calendar illustrates European prudence: legislation by 2026, possible implementation around 2029. A long time, while the United States advances on the stablecoins and China already experiences its digital yuan. The ministers want to prevent Europe from remaining spectator in the World CBDC race.

But this ambition comes up against an internal fracture: some countries push for a rapid digital euro in order to counter the influence of stablecoins leaning against the dollar; Others, like Spain via Navarrete, question its usefulness.

Some key figures to remember

• 2026: Objective displayed for the adoption of legislation;
• 2029: Horizon envisaged for an effective launch of the digital euro;
• € 3,000: detention ceiling offered by the ECB to limit risks;
• 27 pages: Length of the critical report published by Navarrete against the digital Euro;
• Visa and Mastercard: Main actors that the EU wants to compete with its project.

This mixture of geopolitical objectives and internal criticism illustrates a project which deeply divides Europe, between displayed sovereignty and institutional skepticism.

The digital euro remains a priority displayed for the ECB. Christine Lagarde and her team insist on this alternative as a symbol of European independence. However, some analysts see in this initiative a more fragile maneuver than it seems, almost a last card played in a tense economic context. The path to a real digital euro still seems long, strewn with doubts and political fractures.