EU digital euro talks start; launch planned for 2029

The digital euro project represents a long-standing European effort to create a payment infrastructure independent of U.S. companies. The legislation was first proposed three years ago, and formal negotiations between the European Parliament, European governments, and the European Commission only now getting underway reflects the complexity of coordinating policy across the EU's institutions. The timeline is ambitious: completing final legislation by year-end, securing European Central Bank approval on Jan. 1, 2027, and launching the currency two years later. The pilot phase with around 40 banks and payment companies next year will be critical in testing whether the digital euro can function at scale before the broader rollout.