EU Lawmakers Question Digital Euro as ECB Proposes Its Launch

The European Central Bank (ECB) has renewed its proposal for issuing a digital euro, facing pushback from EU lawmakers over privacy concerns and potential risks to commercial banks. The ECB’s Piero Cipollone emphasized that the digital euro would serve as a reliable payment option even during disruptions, citing it as a ‘fallback’ in scenarios like cyberattacks or network outages. However, some parliamentarians expressed concerns about user privacy and the potential for citizens to switch away from commercial banks due to central bank-backed accounts.