After months of political deadlock in the European Parliament, EU lawmakers have cleared a key hurdle in negotiations on the digital euro, bringing the project closer to approval.
According to Euronews, parliamentary rapporteurs have reached agreement on the design of the digital euro, which would function both online and offline.
The digital euro is envisaged as an electronic form of cash issued by the European Central Bank, complementing banknotes and existing payment services offered by commercial banks.
The initiative has gained renewed political momentum amid rising economic tensions between the EU and the United States, fuelling concerns over Europe’s reliance on American payment providers such as Visa and Mastercard.
Under the European Commission’s proposal, users would hold a digital wallet enabling both online and offline transactions, with safeguards to ensure payments remain untraceable.
Progress in Parliament accelerated after lead rapporteur Fernando Navarrete dropped his proposal to limit the digital euro to offline use only—a position that had stalled negotiations for months.
