European Stability Mechanism (ESM) Managing Director Pierre Gramegna warned that the U.S. government's support for digital currencies could encourage tech firms to develop large-scale payment solutions using dollar-denominated stablecoins, potentially threatening the euro area's monetary sovereignty and financial stability

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Mar 10, 2025 - 12:00am

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The changed US stance on digital currencies “could eventually reignite foreign and US tech giants’ plans to launch mass payment solutions based on dollar-denominated stablecoins,” Gramegna said. “And if this were to be successful, it could affect the euro area’s monetary sovereignty and financial stability.” Therefore the ESM supports the ECB’s “urgency in making the digital euro a reality to safeguard Europe’s strategic autonomy — this digital euro is today more necessary than ever,” he said.

Gramegna warned that the changing US stance could encourage both foreign and American technology firms to pursue large-scale payment solutions using dollar-denominated stablecoins.

The Trump administration’s support of crypto currencies could hurt Europe’s monetary autonomy, supporting the case for a digital euro, according to a top EU official. “The US administration is favorable toward cryptocurrencies and especially dollar-denominated stablecoins, which may raise certain concerns in Europe,” European Stability Mechanism Managing Director Pierre Gramegna told reporters in Brussels on Monday

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Pierre Gramegna

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European Stability Mechanism (ESM)

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Policy & regulations

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Week 11 of 2025