EU Accelerates Digital Euro on Public Blockchains

European Union officials are expediting plans for a digital euro on public blockchains like Ethereum and Solana in response to the United States’ new regulatory approach to stablecoins.

This urgency reflects concerns over US dollar dominance in cryptocurrencies and highlights a strategic pivot to ensure the euro’s relevance in increasingly digital financial markets.

EU’s Strategic Shift to Public Blockchains for Digital Euro

EU officials are rethinking their strategy, emphasizing quick deployment of the digital euro on Ethereum or Solana. Public blockchains are being prioritized over previously considered private ones due to privacy concerns.

The GENIUS Act has driven the EU to speed up digital euro deployment, amid fears of USD’s crypto dominance. This act regulates a market worth $288 billion, predominantly controlled by USD stablecoins.

“Our strategy is now urgently re-evaluated in light of the GENIUS Act, pushing us to accelerate digital euro deployment and consider integrating public blockchains like Ethereum and Solana.” – Unnamed EU Policy Official

Public Blockchains: Privacy, Transparency, and Financial Autonomy

Did you know? Since China’s digital yuan launch, the EU had considered a similar approach but shifted to public blockchains like Ethereum, underlining privacy and accessibility debates.

Ethereum (ETH) currently prices at $4,253.95, with a market cap of $513.48 billion. Its 24-hour trading volume is $38.19 billion, representing a drop of 14.27%. Recently, its value saw a decrease of 0.56% over the past 24 hours, sourced from CoinMarketCap.

According to Coincu’s research, embracing public blockchains for a digital euro may enhance transparency and user trust. Potential regulatory adaptations could align with broader global cryptocurrency frameworks, fostering innovation while safeguarding public interests.