EU Greenlights Dual-Format Digital Euro with Privacy-Centric Offline Option
The European Union has formally approved two distinct implementations of a central bank digital currency. The online version will function as a traceable, AML-compliant payment instrument integrated with traditional banking infrastructure. Its offline counterpart prioritizes transactional privacy through internet-independent operation—a deliberate concession to cryptocurrency users' expectations.
Market adoption hinges on overcoming stablecoins' first-mover advantage. While the ECB touts reduced dollar dependence as a strategic objective, global uptake remains uncertain. The offline system's technical execution—balancing anonymity with regulatory oversight—will determine its viability against existing privacy coins.