European Central Bank official: The digital euro is crucial for ensuring Europe's strategic autonomy

According to Bloomberg, ECB Executive Board member Piero Cipollone stated that the introduction of the digital euro is crucial for ensuring Europe's strategic autonomy, aimed at reducing reliance on payment systems outside of Europe, such as Visa, Mastercard, and PayPal.

Cipollone pointed out that Europe currently relies heavily on non-European suppliers for payment systems, and this dependency will increase if no action is taken. The digital euro is set to launch its pilot phase in 2027 and begin issuance in 2029. He emphasized that this move is not a reaction against specific countries or companies, but rather a fulfillment of the ECB's responsibilities to ensure the normal operation of payment systems and to reduce systemic risks arising from excessive reliance on external critical infrastructure.

When discussing stablecoins, Cipollone warned that these privately issued digital assets could "threaten financial stability." He believes that the solution is to provide the public with a simple and reliable euro-denominated alternative, ensuring an effective combination of public and private currencies. Currently, the legal framework for the digital euro project is still awaiting final approval from the European Parliament, with some members leaning towards private sector solutions.