Digital euro faces renewed opposition in European Parliament

After nearly six years of discussions, the introduction of a digital euro faces renewed opposition as a vote looms in the European Parliament. While initial concerns about privacy and the public versus private domain seemed resolved, resistance has reignited, prompting a plenary vote on Thursday in Strasbourg.

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Innovation is used as a pretext to concentrate more power, impose new obligations, and create a public infrastructure that undermines competition, privacy, and the financial freedom of Europeans.

The proposed digital euro aims to function as public money, always exchangeable for cash via the European Central Bank, and accessible offline. However, parliamentary factions on the far-right, including the European Conservatives and Reformers, Patriots for Europe, and Europe of Sovereign Nations, have gathered enough signatures to force a plenary vote. They advocate for European banks to develop commercial alternatives to U.S. platforms like Mastercard and Visa, rather than implementing a publicly managed digital currency.

"The problem is not digital innovation," stated Auke Zijlstra of the PVV, shadow rapporteur on the dossier. "Innovation is used as a pretext to concentrate more power, impose new obligations, and create a public infrastructure that undermines competition, privacy, and the financial freedom of Europeans." Zijlstra has long described the digital euro as a "vague story."

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The problem is not digital innovation.

Further fueling opposition is the proposal to create an "exception to anti-money laundering checks" for asylum seekers and individuals without fixed addresses as part of financial inclusion efforts. This aspect has particularly irked right-wing factions, who question Europe's path to financial independence if it relies on such measures. Europarliamentarian Dirk Gotink, part of the committee majority supporting the digital euro, acknowledges the opposition's efforts to delay the process but emphasizes the urgency for the currency's introduction.

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Zijlstra calls the digital euro a 'vague story' for years.