A critical threshold for the digital euro: European Parliament committee approves the legal framework
Published:
Author: SEPA.tr — Editorial
Event date: 23 June 2026 · Confidence level: B (multi-source press; ECB side A)
The European Parliament’s Economic and Monetary Affairs (ECON) committee has approved the draft digital euro regulation — clearing one of the biggest hurdles in the legislative process.
What happened?
- With the ECON approval, trilogue negotiations between Parliament, Council and Commission can begin; the three institutions aim to finalise the legal framework by the end of 2026. The Council adopted its negotiating position in December 2025.
- The draft foresees online and offline (cash-like privacy) use of the digital euro, holding limits to protect the banking system, and a pilot phase.
- On the ECB side, the two-year “preparation phase” was completed in October 2025 and the next phase began. The publicly reported timeline expectation: if the law passes in 2026, a pilot around 2027 and a possible first issuance in 2029. These are targets; there is no confirmed date.
What does it mean?
- The digital euro would be a central bank digital currency (CBDC) issued by the ECB — it is not a cryptocurrency and does not replace existing euro deposits.
- For SEPA: the digital euro does not replace the existing SEPA schemes (SCT, SCT Instant); it is designed as a new form of payment alongside them. Nothing changes in the short term for users making euro transfers today.
- In Türkiye, the TCMB’s Digital Turkish Lira work continues; the two projects are independent and no link between them has been announced.
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