The digital euro could be key in responding to Trump's stablecoin plan.

Pierre-Olivier Gourinchas, a member of the European Central Bank (ECB), stated at a conference in Frankfurt that the push for stablecoins by U.S. President $Trump further underscores the necessity of launching a digital euro. $Trump recently signed an executive order committing to "promote the development of legitimate dollar stablecoins" globally, which could lead to a loss of bank customers and reduced fees. Gourinchas emphasized that the digital euro will operate as an ECB-backed online wallet managed by banks and other institutions, allowing users without bank accounts to make payments, although holdings may be limited and interest-free. Currently, the central banks in the eurozone are testing the feasibility of the digital euro, with the final decision pending the passage of relevant legislation by the European Parliament. Meanwhile, the U.S. has prohibited the Federal Reserve from issuing a CBDC, while 44 countries, including China and Russia, are experimenting with digital currencies.