Compared to other parts of the world, the EU on the whole has been fairly reluctant to embrace digital economic innovation. The bloc has been suspicious of cryptocurrencies, and treated them as a potential threat to a financial system where stability is paramount.

But the first half of 2026 has been full of clear risks to that stability. Wars, tariffs and shaky military alliances have changed everything.

Nato has been undermined, spending priorities have changed, and trading relationships are not as solid as they used to be. As the former Italian prime minister (and former president of the European Central Bank) Mario Draghi, recently remarked: “For the first time in living memory, [the EU is] truly alone together.”

So perhaps now is the time for the EU to grab hold of some important economic innovations – and stop being so dependent on the US.

One step towards digital economic sovereignty could involve the European Central Bank (ECB) issuing the digital euro sooner than planned (it’s currently due to land in 2029). Like the digital pound being considered in the UK, a digital euro........

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