Eurozone finance ministers have raised concerns over the United States’ shift towards embracing cryptocurrencies, warning that it could pose risks to Europe’s monetary sovereignty and financial stability.
The discussion follows President Donald Trump’s executive order to establish a strategic reserve of cryptocurrencies using government-owned tokens, signalling a major policy shift from the previous administration.
Officials stressed the importance of accelerating the European Central Bank‘s plans to launch a digital euro to maintain control over the region’s financial system.
The head of the European Stability Mechanism, Pierre Gramegna, warned that the United States stance could encourage major technology firms to relaunch digital payment systems using dollar-backed stablecoins, potentially challenging the euro’s dominance in the global financial system.
Eurozone leaders are concerned that a resurgence of stablecoin-based payment platforms could undermine the euro and increase reliance on US-backed digital assets.
Policymakers emphasised that Europe must take proactive steps to safeguard its financial autonomy, ensuring that the euro remains a strong and stable currency in an increasingly digital economy.
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The Digital Markets Act (DMA) and the Digital Services Act (DSA) are two major regulatory frameworks introduced by the EU to create a fairer and safer digital environment. While both fall under the broader Digital Services Act package, they serve distinct purposes.
The DMA focuses on ensuring fair competition by regulating large online platforms, known as gatekeepers, which have a dominant influence on digital markets. It prevents these companies from engaging in monopolistic practices, such as self-preferencing their own services, restricting interoperability, or using business data unfairly. The goal is to create a more competitive landscape where smaller businesses and consumers have more choices.
On the other hand, the DSA is designed to make online spaces safer by holding platforms accountable for illegal content, misinformation, and harmful activities. It imposes stricter content moderation rules, enhances transparency in digital advertising, and ensures better user rights protection. Larger platforms with significant user bases face even greater responsibilities under this act.
The key difference in regulation is that the DMA follows an ex-ante approach, meaning it imposes strict rules on gatekeepers before unfair practices occur. The DSA takes an ex-post approach, requiring platforms to monitor risks and take corrective action after problems arise. This means the DMA enforces competition while the DSA ensures online safety and accountability.
A key component of the DSA Act package is its emphasis on transparency and user rights. Platforms must explain how their algorithms curate content, prevent the use of sensitive data for targeted advertising, and prohibit manipulative design practices such as misleading cookie banners. The most powerful platforms, classified as Very Large Online Platforms (VLOPs) or Very Large Online Search Engines (VLOSEs), are also required to assess and report on ‘systemic risks’ linked to their services, including threats to public safety, democratic discourse, and mental well-being. However, these reports often lack meaningful detail, as illustrated by TikTok’s inadequate assessment of its role in election-related misinformation.
Enforcement is critical to the success of the DSA. While the European Commission directly oversees the largest platforms, national regulators, known as Digital Services Coordinators (DSCs), play a key role in monitoring compliance. However, enforcement challenges remain, particularly in countries like Germany, where understaffing raises concerns about effective regulation. Across the EU, over 60 enforcement actions have already been launched against major tech firms, yet Silicon Valley’s biggest players are actively working to undermine European rules.
Together, the DMA and the DSA reshape how Big Tech companies operate in the EU, fostering competition and ensuring a safer and more transparent digital ecosystem for users.
Trump and Silicon Valley’s fight against EU regulations
The close relationship between Donald Trump and the Silicon Valley tech elite has significantly influenced US policy towards European digital regulations. Since Trump’s return to office, Big Tech executives have actively lobbied against these regulations and have urged the new administration to defend tech firms from what he calls EU ‘censorship.’
Joel Kaplan, Meta’s chief lobbyist, has gone as far as to equate EU regulations with tariffs, a stance that aligns with the Trump administration’s broader trade war strategy. The administration sees these regulations as barriers to US technological dominance, arguing that the EU is trying to tax and control American innovation rather than foster its own competitive tech sector.
Figures like Elon Musk and Mark Zuckerberg have aligned themselves with Trump, leveraging their influence to oppose EU legislation such as the DSA. Meta’s controversial policy changes and Musk’s X platform’s lax approach to content moderation illustrate how major tech firms are resisting regulatory oversight while benefiting from Trump’s protectionist stance.
The White House and the House Judiciary Committee have raised concerns that these laws unfairly target American technology companies, restricting their ability to operate in the European market.
Brendan Carr, chairman of the FCC, has recently voiced strong concerns regarding the DSA, which he argues could clash with America’s free speech values. Speaking at the Mobile World Congress in Barcelona, Carr warned that its approach to content moderation might excessively limit freedom of expression. His remarks reflect a broader criticism from US officials, as Vice President JD Vance had also denounced European content moderation at a recent AI summit in Paris, labelling it as ‘authoritarian censorship.’
These officials argue that the DMA and the DSA create barriers that limit American companies’ innovations and undermine free trade. In response, the House Judiciary Committee has formally challenged the European Commission, stating that certain US products and services may no longer be available in Europe due to these regulations. Keep in mind that the Biden administration also directed its trade and commerce departments to investigate whether these EU laws restrict free speech and recommend countermeasures.
Recently, US President Donald Trump has escalated tensions with the EU threatening tariffs in retaliation for what he calls ‘overseas extortion.’ The memorandum signed by Trump on 21 February 2025, directs the administration to review EU and UK policies that might force US tech companies to develop or use products that ‘undermine free speech or foster censorship.’ The memo also aims at Digital Services Taxes (DSTs), claiming that foreign governments unfairly tax US firms ‘simply because they operate in foreign markets.’
EU’s response: Digital sovereignty at stake
However, the European Commission insists that these taxes are applied equally to all large digital companies, regardless of their country of origin, ensuring fair contributions from businesses profiting within the EU. It has also defended its regulations, arguing that they promote fair competition and protect consumer rights.
EU officials see these policies as fundamental to Europe’s digital sovereignty, ensuring that powerful tech firms operate transparently and fairly in the region. As they push back against what they see as US interference and tensions rise, the dispute over how to regulate Big Tech could shape the future of digital markets and transatlantic trade relations.
Eventually, this clash could lead to a new wave of trade conflicts between the USA and the EU, with potential economic and geopolitical consequences for the global tech industry. With figures like JD Vance and Jim Jordan also attacking the DSA and the DMA, and Trump himself framing EU regulations as economic warfare, Europe faces mounting pressure to weaken its tech laws. Additionally, the withdrawal of the EU Artificial Intelligence Liability Directive (AILD) following the Paris AI Summit and JD Vance’s refusal to sign a joint AI statement raised more concerns about Europe’s ability to resist external pushback. The risk that Trump will use economic and security threats, including NATO involvement, as leverage against EU enforcement underscores the urgency of a strong European response.
Another major battleground is the AI regulation. The EU’s AI Act is one of the world’s first comprehensive AI laws, setting strict guidelines for AI transparency, risk assessment, and data usage. Meanwhile, the USA has taken a more industry-led approach, with minimal government intervention.
This regulatory gap could create further tensions as European lawmakers demand compliance from American AI firms. The recent withdrawal of the EU Artificial Intelligence Liability Directive (AILD) under US pressure highlights how external lobbying can influence European policymaking.
However, if the EU successfully enforces its AI rules, it could set a global precedent, forcing US firms to comply with European standards if they want to operate in the region. This scenario mirrors what happened with the GDPR (General Data Protection Regulation), which led to global changes in privacy policies.
To counter the growing pressure, the EU remains steadfast – as we speak – in enforcing the DSA, the DMA, and the AI Act, ensuring that regulatory frameworks are not compromised under US influence. Beyond regulation, Europe must also bolster its digital industrial capabilities to keep pace. The EUR 200 billion AI investment is a step in the right direction, but Europe requires more resilient digital infrastructures, stronger back-end technologies, and better support for its tech companies.
Currently, the EU is doubling down on its push for digital sovereignty by investing in:
Cloud computing infrastructure to reduce reliance on US providers (e.g., AWS, Microsoft Azure)
AI development and semiconductor manufacturing (through the European Chips Act)
These efforts aim to lessen European dependence on US Big Tech and create a more self-sufficient digital ecosystem.
The future of digital regulations
Despite the escalating tensions, both the EU and the USA recognise the importance of transatlantic tech cooperation. While their regulatory approaches differ significantly, there are areas where collaboration could still prevail. Cybersecurity remains a crucial issue, as both sides face growing threats from several countries. Strengthening cybersecurity partnerships could provide a shared framework for protecting critical infrastructure and digital ecosystems. Another potential area for collaboration is the development of joint AI safety standards, ensuring that emerging technologies are regulated responsibly without stifling innovation. Additionally, data-sharing agreements remain essential to maintaining smooth digital trade and cross-border business operations.
Past agreements, such as the EU-US Data Privacy Framework, have demonstrated that cooperation is possible. However, whether similar compromises can be reached regarding the DMA, the DSA, and the AI Act remains uncertain. Fundamental differences in regulatory philosophy continue to create obstacles, with the EU prioritising consumer protection and market fairness while the USA maintains a more business-friendly, innovation-driven stance.
Looking ahead, the future of digital regulations between the EU and the USA is likely to remain contentious. The European Union appears determined to enforce stricter rules on Big Tech, while the United States—particularly under the Trump administration—is expected to push back against what it perceives as excessive European regulatory influence. Unless meaningful compromises are reached, the global internet may further fragment into distinct regulatory zones. The European model would emphasise strict digital oversight, strong privacy protections, and policies designed to ensure fair competition. The USA, in contrast, would continue to prioritise a more business-led approach, favouring self-regulation and innovation-driven policies.
As the digital landscape evolves, the coming months and years will be crucial in determining whether the EU and the USA can find common ground on tech regulation or whether their differences will lead to deeper division. The stakes are high, affecting not only businesses but also consumers, policymakers, and the broader future of the global internet. The path forward remains uncertain, but the decisions made today will shape the structure of the digital world for generations to come.
Ultimately, the outcome of this ongoing transatlantic dispute could have wide-reaching implications, not only for the future of digital regulation but also for global trade relations. While the US government and the Silicon Valley tech elite are likely to continue their pushback, the EU appears steadfast in its determination to ensure that its digital regulations are enforced to maintain a fair and safe digital ecosystem for all users. As this global battle unfolds, the world will be watching as the EU and USA navigate the evolving landscape of digital governance.
The Trump administration has cut funding for two key cybersecurity initiatives, including one supporting election security, sparking concerns over potential vulnerabilities in future US elections.
The Cybersecurity and Infrastructure Security Agency (CISA) announced it would end around $10 million in annual funding to the non-profit Center for Internet Security, which manages election-related cybersecurity programmes.
However, this move comes as part of a broader review of CISA’s election-related work, during which over a dozen staff members were placed on administrative leave.
The decision follows another controversial step by the administration to dismantle an FBI task force that investigated foreign influence in US elections.
Critics warn that reducing government involvement in election security weakens safeguards against interference, with Larry Norden from the Brennan Center for Justice calling the cuts a serious risk for state and local election officials.
The National Association of Secretaries of State is now seeking clarification on CISA’s decision and its wider implications.
CISA has faced Republican criticism in recent years for its role in countering misinformation related to the 2020 election and the coronavirus pandemic. However, previous leadership maintained that the agency’s work was limited to assisting states in identifying and addressing misinformation.
While CISA argues the funding cuts will streamline its focus on critical security areas, concerns remain over the potential impact on election integrity and cybersecurity protections across local and state governments.
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Coinbase has officially registered with India’s Financial Intelligence Unit (FIU), allowing it to offer crypto trading services in the country, the company announced on Tuesday. The US-based exchange plans to launch its initial retail services later this year, followed by further investments and product rollouts. While a specific timeline has not been disclosed, Coinbase sees India as a key market with strong growth potential.
Interest in cryptocurrency has surged in India, particularly among young investors looking to supplement their incomes. Despite a 30% tax on crypto trading gains—one of the highest globally—the sector remains largely unregulated. Other major exchanges operating in the country include CoinDCX, Binance, and KuCoin.
India requires virtual asset service providers to register with the FIU and comply with anti-money laundering regulations. The government is currently reviewing its stance on crypto, influenced by global regulatory trends and recent policy shifts in the US. As the regulatory landscape evolves, Coinbase aims to establish a strong foothold in the Indian market while adhering to local compliance standards.
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ServiceNow has struck a significant deal, acquiring AI firm Moveworks for $2.85 billion in cash and stock, marking its largest-ever acquisition. This move comes as companies are increasingly investing in generative AI to streamline operations. ServiceNow, which is based in Santa Clara, California, US, plans to integrate Moveworks’ AI technology into its own platform, further enhancing its IT operations offerings.
Moveworks, known for its AI solutions that help resolve employee issues through chat, has a strong customer base, including companies like Broadcom, Palo Alto Networks, and Pinterest. The deal will bring more than 500 employees from Moveworks into ServiceNow, with no layoffs anticipated.
Despite the deal’s size, ServiceNow does not expect regulatory challenges to hinder the transaction, which is expected to close in the second half of 2025. Following the announcement, ServiceNow’s shares saw a 7% dip. Moveworks had previously raised $315 million, reaching a valuation of $2.1 billion before this acquisition.
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Poland’s deputy prime minister reaffirmed plans to introduce a new tax on big tech firms despite warnings from the incoming US ambassador, intensifying tensions between Warsaw and Washington. Deputy Prime Minister Krzysztof Gawkowski dismissed Ambassador Thomas Rose’s remarks as interference, calling it ‘sick’ for another country to dictate Poland’s legislation.
The dispute adds to growing friction between the two allies, fueled by a recent online clash involving US Secretary of State Marco Rubio, Elon Musk, and Polish Foreign Minister Radoslaw Sikorski over Poland’s funding of Ukraine’s Starlink services. Polish Prime Minister Donald Tusk also weighed in, cautioning against ‘arrogance’ from Poland’s allies.
While Gawkowski has not provided specifics on the proposed tax, he suggested it would target the profits of major tech companies operating in Poland and support local tech development. However, some within Poland’s coalition government question the timing, warning of potential trade consequences. Meanwhile, the nationalist opposition party Law and Justice (PiS) argues that the move risks straining relations with Washington.
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The US Department of Justice is maintaining its push for Google to sell its Chrome web browser as part of an ongoing antitrust case.
A recent court filing reaffirmed the department’s stance, arguing that Google’s dominance in online search has created an unfair advantage.
While earlier proposals called for divesting all AI investments, the DOJ is now only requiring prior notification of future deals.
Legal action follows a ruling by Judge Amit P. Mehta, who found that Google illegally maintained its search monopoly. The United States DOJ also seeks to prohibit payments to distribution partners, a key practice that has helped Google secure its search dominance.
Arguments from both sides will be heard in court this April. The case is expected to have far-reaching implications for competition in the tech industry, with potential changes to how Google operates its search and browser business.
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Poland’s Prime Minister, Donald Tusk, has urged allies to show respect and avoid arrogance in a recent post on X, following a heated social media exchange between Polish and US officials. The remarks came after a disagreement over the role of Starlink satellites in Ukraine’s war effort. Radosław Sikorski, Poland‘s foreign minister, had suggested Ukraine may need an alternative to Starlink if its reliability becomes an issue. Poland funds the satellite service for Ukraine, which is crucial for military communications.
The dispute escalated when Marco Rubio, the US Secretary of State, accused Sikorski of being ungrateful, stating that ‘no one has made any threats about cutting Ukraine off from Starlink.’ Rubio emphasised the importance of Starlink in Ukraine’s success, saying the war could have been lost without it. Sikorski responded by thanking Rubio for reaffirming the collaboration between the US and Poland in providing the service.
The controversy deepened when Elon Musk, the founder of SpaceX, which operates Starlink, labelled Sikorski a “small man” and told him to ‘be quiet’ after the suggestion that Poland may seek alternatives. Musk reiterated his commitment to keeping Starlink operational in Ukraine, despite political disagreements, and denied using the service as a bargaining chip.
The ongoing debate highlights growing tensions surrounding the role of private companies in international conflict and the geopolitical importance of satellite technology. Meanwhile, the Franco-British operator Eutelsat saw a surge in stock prices, as speculation grows that it could potentially replace Starlink in providing services to Ukraine.
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The Metropolitan Transportation Authority (MTA) in New York City has partnered with Google Public Sector on a pilot program designed to detect track defects before they cause significant disruptions. Using Google Pixel smartphones retrofitted onto subway cars, the system captured millions of sensor readings, GPS locations, and hours of audio to identify potential problems. The project aimed to improve the efficiency of the MTA’s response to track issues, potentially saving time and money while reducing delays for passengers.
The AI-powered program, called TrackInspect, analyses the sounds and vibrations from the subway to pinpoint areas that could signal defects, such as loose rails or worn joints. Data collected during the pilot, which ran from September 2024 to January 2025, showed that the AI system successfully identified 92% of defect locations found by human inspectors. The system was trained using feedback from MTA inspectors, helping refine its ability to predict track issues.
While the pilot was considered a success, the future of the program remains uncertain due to financial concerns at the MTA. Despite this, the success of the project has sparked interest from other transit systems looking to adopt similar AI-driven technologies to improve infrastructure maintenance and reduce delays. The MTA is now exploring other technological partnerships to enhance its track monitoring and maintenance efforts.
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Social media platform X is experiencing widespread outages in the US and the UK, with thousands of users reporting issues, according to outage tracking website Downdetector.
Reports indicate over 21,000 incidents in the US and more than 10,800 in the UK, suggesting significant disruptions.
Downdetector, which gathers status reports from various sources, noted that the actual number of affected users may be higher.
Many have turned to other platforms to discuss the outage, but X has not yet responded to requests for comment.
The cause of the disruption remains unclear, and there is no official timeline for when full service will be restored. Users continue to face difficulties accessing the platform, impacting communication and social media activity globally.
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