Europe launches digital euro to reduce reliance on Visa, Mastercard payment duopoly

The European Central Bank is advancing plans for a digital euro, a development prompted by U.S. sanctions against International Criminal Court judges who issued an arrest warrant for Israeli Prime Minister Benjamin Netanyahu—sanctions that froze their access to Visa and Mastercard payment systems even within Europe. The initiative reflects growing concern among European policymakers over dependence on American payment infrastructure for financial decisions made on European soil. The digital euro would give Europe direct control over payment systems and reduce vulnerability to U.S. extraterritorial sanctions. The project addresses a structural vulnerability in European financial sovereignty.