European Central Bank Moves to Accelerate Digital Euro Rollout with 2029 Target

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The European Central Bank (ECB) has announced it is moving into the “next and final phase” of its central-bank digital currency (CBDC) project, aiming for a full rollout of the digital euro across Europe in 2029.

The move follows a call from the European Council urging the ECB and other stakeholders to accelerate development of the digital euro so it can be made available “as early as possible.”

If the required regulation is passed by the European Parliament in 2026, the ECB may begin a pilot exercise as early as mid-2027 before a eurozone-wide launch in 2029.

ECB President Christine Lagarde explained via the bank’s X account that the digital euro project is important for making euro payments possible in various means. 

Lagarde also said about the euro: “It’s a symbol of trust in our common destiny. So, off we go with the digital euro in that next and final phase of the preparation.”

As a digital form of the euro, the CBDC will still be issued by banks and will not use a public blockchain. Most stablecoins are pegged to the US dollar, which has given an incentive for banks around the world to issue CBDCs in an increasingly digital payment environment. 

The USA has prohibited CBDCs while many countries around the world are either researching or have already launched digital currencies.