ECB Says Digital Euro is Ready to Launch, Awaits Approval From EU Lawmakers

Highlights:

• The ECB has confirmed that the digital euro will launch soon after meeting technical criteria.
• Currently, the digital euro is awaiting approval from the European Parliament and the European Commission.
• The ECB President highlighted some risks associated with stablecoins and how to circumvent them.    

The European Central Bank (ECB) states that the digital euro is technically ready for launch and is awaiting approval from European Union (EU) lawmakers. Speaking at the ECB’s final press meeting of the year, President Christine Lagarde noted that the bank has finished its part of the work, adding that the systems needed for the digital euro are already in place. 

She explained that the next step is no longer in the ECB’s hands. The decision now lies with the European Parliament and the European Commission. These bodies must review the proposal and decide if it should become law or not.

The President stated:

“Our ambition is to make sure that there is a currency that is the anchor of stability for the financial system. Currently, that anchor is central bank money, which essentially has material form: it’s the banknotes that you have in your wallet.”   

The digital euro is technically ready, with a targeted launch around mid-2029 pending approval from the European Parliament and Commission. ECB President Christine Lagarde highlights MiCA regulation as key to safely integrating stablecoins alongside the digital euro. The project… pic.twitter.com/PNdB548fhf

— Fama Crypto (@Famacrypt) December 19, 2025

Anticipated Timeline for the Digital Euro Launch

Earlier this year, ECB Executive Board member Piero Cipollone shared a possible timeline. He said a launch around the middle of 2029 sounds realistic. At the time, he added that talks among EU member states were moving smoothly. With the technical stage completed, attention has now shifted fully to politicians. Lagarde said the ECB is hopeful that lawmakers will move the process forward once the Council finishes its review. She also made it clear that she strongly supports the digital euro, along with leaders from other EU countries.

During the question-and-answer session, Lagarde addressed concerns about stablecoins. She said they are not a danger to Europe’s control over its monetary system, especially since they fall under Europe’s Markets in Crypto-Assets (MiCA) rules. According to Lagarde, this legal framework allows stablecoins to operate under supervision, affording users a level of safety. 

Legarde Speaks on Possible Risk Associated with the Anticipated Launch

The ECB President warned about possible risks that could arise from simultaneously backing stablecoins with many currencies. She said the setup could create problems with reserves and needs close attention to protect both the system and users. Legarde also stressed that the ECB  is not trying to set an example for others with the digital euro. Instead, the digital euro aims to ensure that there is a trusted form of money that supports stability in a digital world.

The ECB President also stressed that cash will remain available across Europe. The digital euro will complement physical money, not replace it. She added that the digital euro will be easy to use, fast, private, attract low charges, and be able to work online and offline. Finally, Legarde spoke on interest rates, noting that the ECB will continue relying on data when making decisions. The President added that she expects inflation to reach the bank’s 2% target by 2028.

The digital euro is the next step for our money – and it is integral to strengthening our strategic autonomy in the digital age. Executive Board member Piero Cipollone and EU Commissioner Valdis Dombrovskis explain why Europe needs a digital euro https://t.co/6yM9jILImr pic.twitter.com/aAccOB0h82

— European Central Bank (@ecb) December 9, 2025

In November, Olaf Slejipen, an ECB Governing Council member and President of De Nederlandsche Bank, warned that the value of dollar-linked digital tokens in the US is growing faster than expected. He added that this rapid expansion could push policymakers in Frankfurt to reconsider their approach to financial stress. “If stablecoins in the US keep growing at this pace, they will become systemically relevant at some point,” he added.