YEREVAN, July 10. /ARKA/. The European Parliament has approved its position on the digital euro project, allowing for the start of the final stage of negotiations with the governments of EU countries on the implementation of a new form of European currency.
The digital euro is an electronic form of cash that will be issued and guaranteed by the European Central Bank (ECB). It is expected to complement cash and existing banking services rather than replace them.
According to the project, citizens will be able to store digital euros in a special electronic wallet. The system will support both online and offline payments, while the ECB will not be able to directly identify users based on their payment data.
The infrastructure for the digital euro will be provided by the ECB, while commercial banks and other payment service providers will deliver services to customers.
As noted by Euronews, one of the key issues in the upcoming negotiations will be the compensation mechanism for financial organizations for providing services using the digital euro. The parties will also need to agree on the distribution of fees throughout the payment chain. It is expected that fees for merchants will be lower than those for card payments.
The most intense phase of negotiations is expected in the fall, with final approval of the project anticipated by the end of 2026. The launch of a pilot program is scheduled for 2027, and the use of the digital euro for retail payments is planned for 2029.
