The European Union is accelerating work on its planned digital euro after the United States enacted the Genius Act, a law that sets rules for dollar-denominated stablecoins
The European Union is accelerating work on its planned digital euro after the United States enacted the Genius Act, a law that sets rules for dollar-denominated stablecoins. People involved in the EU discussions told the Financial Times that officials fear the new U.S. framework could give American-backed tokens a first-mover advantage and erode the euro’s role in digital payments.
In a shift from earlier plans to build the currency on a proprietary network, policymakers are now studying whether to issue the digital euro as a stablecoin on a public blockchain such as Ethereum or Solana. Adopting an open ledger is seen as a way to speed development, tap existing developer communities and ensure interoperability with the broader crypto ecosystem, the sources said.
No final decision has been made, but the debate marks the bloc’s most serious consideration to date of public blockchain rails for a sovereign digital currency. The European Commission and European Central Bank are expected to outline next steps later this year.
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Source: https://thedefiant.io/news/regulation/eu-weighs-public-blockchain-digital-euro-after-us-stablecoin-law-27fc8132
