While Berger was leading the digital euro project, he also became one of its biggest critics. According to POLITICO, he took this decision to end allegations that he deliberately delayed the project.

“It’s time for someone who is not from Germany and who is not suspected of wanting to delay the talks,” Berger, a veteran lawmaker from Germany’s center-right European People’s Party (EPP), told POLITICO.

The news stated that Berger’s replacement, EPP’s economic affairs officer Markus Ferber, will be determined within a week.

The digital euro is designed as a virtual version of the coins and banknotes used in the euro zone. This project aims to improve payment processes in the region and reduce dependence on foreign companies such as Visa and Mastercard.

However, the project faced concerns among citizens and banks, especially in Germany. Criticism focused on the design of the digital euro and the financial risks it may pose.

Berger expressed concern that the digital euro could harm small-scale banks by encouraging sudden withdrawals. On the other hand, privacy concerns and technical details also created difficulties in the progress of the project.

Stefan Berger played an important role in the preparation of the Crypto Asset Markets Regulation (MiCA) law, which made the European Union a pioneer in crypto regulations.

MiCA has introduced clear rules for crypto firms across the EU, solidifying the region’s leadership in the crypto space. But Berger had difficulty building similar support for the digital euro.

Following criticism of the project, Berger proposed a phased implementation of the digital euro. This approach, which was initially planned to be used only for wholesale transactions, aimed to ensure that the project progressed carefully.

However, critics suggested that Berger missed deadlines and deliberately slowed down the project. These allegations led some lawmakers to call for Berger’s impeachment earlier in the year.

The European Central Bank (ECB) continues to test the viability of the digital euro. The bank plans to launch a pilot program in the coming years.

In a progress report published in December, the regulator said offline digital euro payments could be canceled if agreement could not be reached with smartphone manufacturers on secure chip integration.

Stefan Berger’s resignation aims to reduce the obstacles to the digital euro project and end the discussions. The progress of the project can be accelerated by the appointment of a new leader. If Berger’s replacement is from outside Germany, it could lead to wider acceptance of the project.

While the digital euro aims to create an innovative transformation in payment systems in the euro area, criticisms need to be resolved and design details need to be clarified. Berger’s resignation is considered a turning point that could accelerate this process.