The EU Commission presents a legislative proposal for the digital euro

The EU Commission plans to present two legislative proposals in Brussels on Wednesday that will revolve around the future of payments in Europe. On the one hand, there is a legal framework for the digital euro, on the other hand, the status of cash.

The European Central Bank (ECB) has been working on the digital euro as a supplement to notes and coins for years. Based on the Brussels proposals, the currency watchdogs could take their preparatory work to the next level in the fall. It has not yet been decided whether a digital version of the European common currency will actually be introduced. According to previous information from the ECB, a digital euro could come in 2026 at the earliest.

According to the will of the EU Commission, consumers should be able to use a digital euro as well as cash as a legal means of payment – at least that is what it says in a draft of the legislative proposal that has been circulating since mid-June.

At the same time, Brussels is committed to ensuring that cash continues to be widely accepted and that consumers have access to it across the board. The second legislative proposal that the EU Commission intends to present on Wednesday is intended to ensure this. Among other things, this should regulate that the trend of only accepting cashless payment methods, for example in retail, does not get out of hand.

According to the two legislative proposals, these must be shaped by the EU member states and the European Parliament before they can be implemented. (dpa)

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