A draft amendment to the digital euro regulation suggests that individuals targeted by unilateral sanctions from third countries, not recognized by the EU, could still access digital euro payment services. This aims to prevent situations where EU citizens are cut off from financial systems due to non-EU imposed sanctions.
ECB's Isabel Schnabel warns stablecoins could mirror money market fund risks and strengthen the US dollar's global role. She advocates for modernizing public money via digital euro and tokenized central bank settlement to ensure financial stability.
The EU is racing to launch a digital euro by 2029 to ensure monetary sovereignty and reduce dependence on US firms like Visa and Mastercard. The project faces intense opposition from commercial banks and key MEPs who fear it could disrupt private competition and market efficiency.
The ECB signed deals with three standards bodies to reuse open payment standards for the digital euro and lower integration costs for banks and merchants.
