EU Parliament’s ECON committee in Brussels voted Tuesday to endorse a legal framework for the digital euro, clearing the way for the European Central Bank to launch online and offline versions by 2029. Lawmakers said the step protects monetary independence and counters growing reliance on U.S. payment giants. The decision follows years of debate on fitting the token into existing payment rails.

The project, launched in 2021, stalled as national governments and the legislature argued over design. Concerns grew that Visa and Mastercard dominate European transactions and that dollar‑pegged stablecoins could erode sovereign control. Rapporteur Fernando Navarrete pushed an offline‑first option, but the ECB insisted both formats are needed to capture full benefits. Stakeholders argue the dual approach safeguards users while fostering innovation across the eurozone.

A 12‑month pilot will test a beta version with licensed payment providers and merchants, while the ECB advances a wholesale CBDC roadmap targeting an Appia blueprint by 2028. A short‑term bridge, Pontes, will link DLT platforms to the Target system in Q3 2026. Parliament’s endorsement removes the last legislative hurdle, accelerating Europe’s push for a sovereign digital payments ecosystem.