European officials are considering whether to issue digital euros on public blockchains such as Ethereum and Solana, moving away from previous plans for a closed central operating system.
Since the US passed its first stubcoin law in July, debate has intensified in recent weeks, giving regulated dollar-backed tokens a head start for global finance.
Ram Kumar, a core contributor to blockchain infrastructure company OpenLedger, Decryption Deploying the euro to public chains will dramatically expand its reach.
“It will immediately open the euro to the wider crypto economy,” Kumar said. “We can plug that infrastructure into Defi, global wallets and cross-border payments without having to build it from scratch.”
Ethereum can provide “programmatic and access to a rich developer ecosystem,” says Kumar, and Solana offers “low rates and high throughput to handle consumer-wide payments.”
Both of them make the euro more visible across Europe in ways that don’t allow private ledgers.
Kumar added that the US stable law, known as the act of genius, forces Europe to move faster.
“If the dollar gets a head start with digital payments, there’s a risk that it will cover the euro with global finance,” he said.
Financial Times beginning It has been reported Authorities were considering using public blockchain late last week.
Mounting pressure
Still, the risks remain for such models.
Privacy is our number one priority, and public blockchain is EU GDPR Frameworkrights to erase data, and European Central Bank, etc. Stated goals Store cash-like anonymity in digital payments.
Technical and governance issues persist, including Ethereum scalability limitations, Solana’s reliability record, and the reality that upgrades and valters remain outside of direct state management.
Policymakers warn that deposits can be withdrawn from banks if widely accessible euro tokens are not carefully designed.
April, ECB Executive Committee member Piero Cipollone I warned That means that US stubcoins can move deposits from European banks and strengthen the dollar’s global role.
The measures taken under Trump “to promote crypto assets and US dollar support stubcoins” have raised concerns about “European financial stability and strategic autonomy,” Kaypolone wrote at the time.
An ECB spokesman said Decryption The position remains the same, and points to Cipolon’s confirmation In July, the digital euro could be technically ready.
