The EU agreed on plans for a digital euro.

At a meeting in Copenhagen, finance ministers from EU countries agreed on a plan to launch a digital euro. They want to make the new instrument an alternative to Visa and Mastercard, reducing Europe’s reliance on foreign systems.

The digital euro is conceived as an electronic wallet under the control of the European Central Bank. It has been under discussion for a long time, but the project has been stalled by controversy. Bankers are concerned that it could weaken their position and create security and cost issues.

Now, ministers have decided that important details need to be discussed before the final launch—for example, the number of digital euros each person can hold. This limit should allay fears of a mass withdrawal of money from banks.

The European Commission proposed legislation back in 2023, but it has not yet been approved by the European Parliament and the Council of the EU. If everything is adopted by the summer, the launch could take another two to three years.

Some countries already have their own digital payment systems, but they only operate locally. The digital euro must be implemented across the entire Union. ECB President Christine Lagarde said it’s not just about payments, but also about Europe’s sovereignty and its ability to create its own financial solutions.

Nubank to Test Stablecoin Payments with Credit Cards

Nubank, the biggest digital bank in Latin America, is getting ready to test payments with dollar-pegged stablecoins on its credit cards. Pilot programs are already in the works, the company confirmed.

The project is being overseen by Roberto Campos Neto, former head of Brazil’s Central Bank and now deputy chairman at Nubank. He noted that the first trials could begin before the end of the year, though an official launch date hasn’t been set.