EU Parliament Backs 2029 Digital Euro with Online and Offline Functionality (ECB)

The European Parliament approved a major endorsement of a central bank digital currency (CBDC) with both online and offline functionality, aligning closely with the European Council's position. The ECB requires legislative approval from Parliament to issue a digital euro; with this backing, the 2029 launch timeline now hinges on final legislative ratification. The vote reflects a shift from earlier proposals focused solely on offline payments and underscores concerns over payment fragmentation and reliance on non‑EU providers amid geopolitical tensions. MEPs approved amendments ensuring equal access to payment services and a public money instrument usable both online and offline. Lawmakers also called for stronger oversight of crypto‑assets to prevent fragmentation and ensure inclusivity in the single market. The ECB has been developing the digital euro to preserve monetary sovereignty and reduce reliance on private, non‑EU payment providers.