Digital Euro Could Use Ethereum or Solana as ECB Seeks Sovereignty

• Digital Euro evaluates issuance on Ethereum or Solana
• ECB prioritizes sovereignty in European Union digital payments
• MiCA legislation regulates stablecoins ahead of possible launch

The European Union has stepped up work to make the digital euro viable and is considering using public blockchains, such as Ethereum and Solana, for issuance and settlement. under  Financial Times  .The initiative comes at a time when dollar-pegged stablecoins are dominating the market, raising concerns in Brussels about the euro's strategic position in the digital payments ecosystem.

The European Central Bank (ECB) published in July its third progress update, describing the preparation phase, which runs until October 2025. After this period, the ECB Governing Council will decide on the next steps, although the issuance of the currency depends on legislation approved by the European Union's co-legislators.

Em statements Speaking to the European Parliament's ECON Committee, Piero Cipollone, member of the ECB's Executive Board, stated that the digital euro would reduce structural dependence on external payment systems and create "a resilient foundation for retail payments in the bloc." This vision reinforces the objective of strategic autonomy, integrating both online and offline payments.

The regulatory regime for digital assets has already been established with the implementation of MiCA (Regulation 2023/1114), which came into effect in a staggered manner between June 2023 and December 2024. The provisions on stablecoins are already active, allowing EU authorities greater oversight over issuers and service providers before any official launch of a CBDC.

Considering public blockchains opens the possibility of interaction with existing digital wallets, as well as tokenized deposits and other digital assets, but the ECB is still evaluating parameters such as privacy, retention limits, and offline usability. No definitive architecture has been chosen yet.

The exploration of Ethereum and Solana is described as a political overture rather than a final decision. The ECB remains neutral on the technology but notes relevant institutional examples. The European Investment Bank has already issued digital bonds on Ethereum, while projects like Mariana, led by the BIS in partnership with central banks, have tested the settlement of CBDCs on public blockchains.

The final decision will depend on the European legislative process, which, according to external timelines, is unlikely to occur before 2026. Meanwhile, the ECB continues testing with market participants within its innovation platform to define the most appropriate design for the digital euro.