Nagel from Bundesbank dey call for euro-pegged stablecoins and wholesale CBDC to stop dollar takeover

Bundesbank pipo Joachim Nagel dey push make dem quick develop euro‑pegged stablecoins and wholesale CBDC to make euro strong for international level and stop possible dollarization. Nagel talk say euro‑denominated stablecoins fit make cross‑border payments cheaper and allow programmable transactions for people and companies, while wholesale CBDC go allow institutions settle in programmable central bank money. Eurosystem dey evaluate distributed‑ledger technology for non‑central‑bank money, like tokenised deposits and euro stablecoins, and dem dey plan deliver pan‑European retail digital euro by 2029. Nagel warn say e get risk if USD‑pegged stablecoins begin dey widely used for euro area, noting market still dominated by dollar‑pegged tokens and get over $300bn market cap. Critics warn stablecoins fit threaten monetary sovereignty, increase chance of illicit use and weaken the “singleness of money”; some experts prefer tokenised bank deposits as safer option. Nagel present euro‑pegged instruments and wholesale CBDC as defensive tools to protect monetary policy effectiveness and European sovereignty amid geopolitical fragmentation.