Investing.com – A member of the Executive Board of the European Central Bank (ECB), Piero Cipollone, expressed no concern over the delay of the European Parliament’s vote on the digital euro from early May to late June.
Cipollone participated in a virtual discussion organized by the Peterson Institute for International Economics. He was aware of the latest reports indicating that the parliamentarians might use their votes on May 5 instead of June 23.
Cipollone stated: “We have been patient for three years, and waiting a few more months is not a big deal. We will be able to adjust our timeline to the legislative process.”
The economic and monetary affairs committee of the European Parliament is grappling with different views regarding the digital euro. The main point of contention is: Will both digital and offline versions be launched, or just the offline option? This debate, which aims to support both formats in the general assembly, is ongoing.
The member states agreed on a common stance on the digital euro in December. The ECB announced that the digital currency unit could be introduced to the market by 2029. However, this depends on the legislation being completed this year. The central bank plans to initiate a 12-month pilot phase in the second half of 2027.
ECB policymakers are concerned about Europe’s dependence on US payment companies, such as Visa (NYSE:V) and Mastercard (NYSE:MA). They are also worried about the stabilcoins supported by former US President Donald Trump.
ECB Member’s Perspective on Digital Euro
Cipollone shared his thoughts on the digital euro during the virtual discussion:
“We have been waiting for three years with patience, and waiting a few more months is not a significant issue. We will be able to adapt our schedule to the legislative process.”
The European Parliament’s economic and monetary affairs committee is currently debating the digital euro, with differing opinions on the matter. The primary issue at hand is whether both digital and offline versions will be launched or if only the offline option will be used.
Timeline for Digital Euro
The member states reached a consensus on the digital euro in December 2021. The ECB announced that the digital currency unit could potentially enter the market by 2029. However, this depends on the legislation being finalized this year.
ECB’s Pilot Phase for Digital Euro
The ECB plans to initiate a 12-month pilot phase for the digital euro in the second half of 2027.
Impact on European Payment Companies
ECB policymakers are concerned about Europe’s reliance on US payment companies, such as Visa and Mastercard. They are also wary of the stabilcoins backed by former US President Donald Trump.
