The EU promotes euro stablecoins to counter the dominance of the US dollar.

Golden Finance reports that the EU is promoting the development of euro-denominated stablecoins to reduce reliance on dollar stablecoins and support local financial innovation. Although the digital euro has great potential, euro stablecoins from the private sector are equally important. The EU is responding actively to the rapid rise of dollar stablecoins.

Golden Finance reported that Pierre Gramegna, the General Director of the European Stability Mechanism (ESM), stated that the EU should promote the development of euro-denominated stablecoins to reduce reliance on dollar stablecoins and support local financial innovation. He emphasized that stablecoins and tokenized assets will become an important part of the European financial system. Paschal Donohoe, the president of the Eurogroup, believes that while the digital euro (CBDC) still holds potential, euro stablecoins issued by the private sector are equally necessary. European Central Bank official Piero Cipollone pointed out that the digital euro is not expected to be launched before 2029. Following the passage of the GENIUS Act in the United States, the dollar stablecoin has experienced rapid growth, prompting the European Union to adjust its stance and actively promote the euro stablecoin to counter the dollar's dominance in the global digital finance space.