EU digital euro lead Stefan Berger quits to quell sabotage allegations

Stefan Berger, a key figure in the European Parliament’s digital euro discussions, has stepped aside to pave the way for uncontested progress.

According to information obtained by POLITICO, the man who led the Parliament’s work on the digital euro and became one of the biggest critics of this work resigned to stop allegations that he deliberately delayed the project.

Berger, a senior German lawmaker from the center-right European People’s Party, announced his decision to POLITICO, saying: “It’s time for someone to [who] He does not come from Germany and does not suspect that he wants to postpone the negotiations.” The report states that Markus Ferber, who oversees the EPP’s economic affairs, will choose Berger’s replacement within a week.

Planned as a virtual version of euro coins and banknotes, the digital euro aims to improve payments in the euro zone and reduce dependence on foreign companies such as Visa and Mastercard. However, there was a push back, especially by German banks and citizens concerned about its design and financial risks. Berger also expressed concern that this could lead to sudden withdrawals and hurt smaller banks.

Although Berger helped create MiCA, which would make the EU the first major region with open crypto rules, he has faced difficulties in gaining similar support for the digital euro. While MiCA gives crypto companies clear rules across the EU, the digital euro has been met with concerns over privacy and technicalities.

Berger suggested a gradual approach for the digital euro, starting with wholesale transactions. But critics claimed he missed deadlines and slowed progress, prompting rival MPs to call for his removal earlier this year.

The European Central Bank is currently testing the feasibility of a digital euro and is planning a pilot program in the coming years. Earlier in December, in its digital euro progress report, the regulator hinted that it might abandon offline digital euro payments if it could not agree on secure chip integration with smartphone manufacturers.