Overview
- The Council of the European Union endorsed the ECB’s design that treats the digital euro as a payments tool rather than a savings product.
- Holding limits are intended to curb deposit flight from commercial banks and to safeguard credit creation and monetary policy transmission.
- Officials confirmed the currency will work both online and offline to support broad public use.
- EU policymakers positioned a sovereign CBDC as preferable to dependence on private stablecoins for control over public money.
- The project enters a legislative phase to finalize consumer privacy safeguards, caps on fees, distribution and remuneration rules, and the sequencing of pilots and rollout.