Digital Euro on Track for 2029 Launch Following Key Agreement on Holding limits
WASHINGTON – The European Central Bank (ECB) is progressing toward its goal of launching a digital euro, with a “major breakthrough” achieved regarding customer holding limits, according to ECB official Piero Cipollone. This development follows a recent agreement among EU finance ministers on a roadmap for the digital currencyS implementation.
The consensus on holding limits represents a significant step forward in the multi-year project to create a digital form of the euro.Days prior, EU finance ministers formally endorsed the roadmap, signaling increased momentum for the initiative. The ECB currently aims to launch the digital euro in 2029.
The move contrasts with the more cautious approach taken by the U.S. Federal Reserve, which has explored the possibility of a Central Bank Digital Currency (CBDC) through studies and discussions but has made no firm commitments to development or piloting a retail CBDC. Federal Reserve Chair Jerome Powell has repeatedly stated that any such move would require explicit support from the executive branch and authorization from Congress.
Recent political developments in the U.S. suggest a different path, with a focus on regulating privately issued stablecoins. President Donald Trump recently signed the GENIUS Act into law – the country’s first crypto legislation – establishing a regulatory framework specifically for stablecoins. This legislation could signal a new era for cryptocurrency in the U.S., prioritizing private stablecoin solutions over a central bank-backed digital dollar.
