European officials are calling for the active development of euro-denominated stablecoins to reduce the EU economy’s dependence on dollar-denominated digital assets. This issue has gained prominence following the passage of the GENIUS regulatory package in the US in 2025, which legitimized the circulation of dollar-pegged stablecoins and led to their rapid growth in the global market.
This is reported by Business • Media
European Officials on the Future of Stablecoins
During hearings on the economic situation in the eurozone, the Managing Director of the European Stability Mechanism, Pierre Gramegna, emphasized the strategic necessity of supporting homegrown digital assets. He stressed that Europe must avoid financial dependency on dollar-denominated stablecoins. Gramegna pointed out that the development of euro-denominated stablecoins would help strengthen the competitiveness of the European financial sector and reduce the dollar’s influence on European markets.
“Europe must embrace the potential of financial innovations related to stablecoins and tokenized assets. Stablecoins are an inevitable part of this equation. In a rapidly changing financial environment, Europe must do everything possible to promote the creation of euro-denominated stablecoins by local issuers.”
Eurogroup President Paschal Donohoe also supported the idea of developing financial innovations, emphasizing that the digital euro (CBDC), as the EU’s centralized digital currency, could play an important role in ensuring stability and fostering European commerce.
Bank Plans and the Prospects of the Digital Euro
The European Central Bank announced back in January 2023 that it was preparing to implement the digital euro. However, according to ECB Executive Board member Pierre Cifolelli, the launch of the CBDC is not expected until mid-2029 due to delays from European lawmakers. Cifolelli remains a consistent advocate for the digital euro while criticizing private stablecoins.
Additionally, it was recently revealed that nine leading European banks plan to launch a euro-pegged stablecoin in the second half of 2026, in accordance with the MiCA regulation. This underscores Europe’s ambition to strengthen its presence in the stablecoin market and reduce vulnerability to external currency risks.
ECB President Christine Lagarde has previously emphasized the need to eliminate risks associated with foreign stablecoins and to fill regulatory gaps to protect the liquidity of the eurozone.
At the same time, recent ECB research indicates that among 19,000 residents across 11 eurozone countries, only a small fraction is willing to invest in the digital euro. This presents additional challenges for regulators in building trust in new digital financial instruments.
Thus, the development of euro-denominated stablecoins remains a priority for the EU in both economic and geopolitical contexts, as ensuring financial independence and competitiveness becomes increasingly relevant amid the growing role of the US in the digital asset market.