Debates over holding limits and privacy features will shape the final form of the digital euro. The EU Council endorses the European Central Bank’s design, supporting online and offline functions. Discussions continue on finding a balance between privacy and anti-money laundering rules for the digital euro.

Privacy, legal tender status, and financial inclusion are key features of the digital euro that have general support. However, aspects like online privacy levels, acceptance rules, and holding limits are still subject to change. The European Consumer Organization expects privacy measures, legal tender status, and holding limits to be implemented.

ECB President Christine Lagarde has urged EU lawmakers to regulate stablecoins to prevent risks to the euro. Global coordination is needed to manage stablecoins and prevent the dominance of the US dollar. The digital euro aims to strengthen the euro’s international role and keep up with China’s advanced digital yuan program.

The ECB’s digital euro rollout relies on the implementation of a legal framework. At least 137 countries have explored a CBDC, with the ECB aiming to boost the euro’s global standing. China’s digital yuan is seen as a leading program, with commercial banks set to pay interest on CBDC wallets by 2026.

Read more at cointelegraph.com: Privacy Among Digital Euro’s ‘Hardest Political Tradeoffs’