The post What a Digital Euro on Ethereum or Solana Means for Europe’s Monetary Sovereignty appeared on BitcoinEthereumNews.com.

In brief The U.S.’s recently passed stablecoin law has heightened pressure on Europe to accelerate digital euro plans. Deploying on Ethereum or Solana could expand global use of the currency, Decrypt was told. Yet privacy, governance and banking stability remain key concerns for officials. European officials are considering whether to issue the digital euro on public blockchains like Ethereum or Solana, in a departure from earlier plans for a closed, centrally run system. The debate has intensified in recent weeks ever since the U.S. passed its first stablecoin law in July, giving regulated dollar-backed tokens a head start in global finance. Ram Kumar, a core contributor at blockchain infrastructure firm OpenLedger, told Decrypt that deploying the euro on a public chain would dramatically expand its reach.  “It would open the euro to the wider crypto economy instantly,” Kumar said. “It could plug into DeFi, global wallets, and cross-border payments without needing to build that infrastructure from scratch.” Ethereum could offer “programmability and access to a rich developer ecosystem,” Kumar said, while Solana provides “low fees and high throughput that can handle consumer-scale payments.”  Both, he said, would make the euro more visible beyond Europe in ways a private ledger cannot.  Kumar added that the U.S.’s stablecoin legislation, dubbed the GENIUS Act, is forcing Europe to move faster.  “If the dollar gets a head start in digital payments, it risks overshadowing the euro in global finance,” he said. The Financial Times first reported that officials were considering the use of public blockchains late last week. In any case, “the proposed regulation on the digital euro is technology neutral,” a spokesperson for the European Commission told Decrypt Tuesday, adding that negotiations on the proposal “are now ongoing” with the European Parliament and Council. Mounting pressure Still, risks over such a model…

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Filed under: News - @ August 27, 2025 2:30 pm