Key facts
- A digital euro could prevent fragmentation and bolster Europe's monetary sovereignty, according to ECB executive board member Piero Cipollone.
- Cipollone stated the digital euro would not replace banks but provide them with infrastructure.
- The ECB aims to conclude the legislative process for a digital euro by the end of 2026.
- A pilot program for the digital euro is planned to begin in the second half of 2027.
- Potential issuance of a digital euro is anticipated in 2029.
A European Central Bank executive board member has cautioned that the absence of a unified digital euro could lead to fragmentation and undermine Europe's monetary sovereignty. Piero Cipollone stated on a webcast that a "pan-European digital payment solution" is necessary to cater to everyday transactions and prevent fragmentation across tokenization platforms.