EU Mandates Central Bank Digital Currency by 2029
The European Union is planning to introduce a mandatory central bank digital currency (CBDC) by 2029, replacing standard financial transactions that occur digitally.
According to the European Central Bank's website, the EU intends to fully implement the 'digital euro' by 2029, pending the adoption of relevant regulation by the end of this year.
A 12-month pilot program will begin in the second half of 2027 to ensure a smooth rollout of the CBDC in 2029. Over 50 payment service providers (PSPs) have already signed on to join the digital euro pilot, and they are now calling on e-commerce and mobile commerce merchants to sign up to participate in the beta before the official rollout.
The European Commission states that the digital euro 'would offer greater choice to consumers and businesses in situations where physical cash cannot be used.'