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Today in History: Eurozone freezes legacy currencies to establish euro value

12/31/2025

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Summary

Story summary

On December 31, 1998, the European Exchange Rate Mechanism (ERM II) was implemented, freezing the exchange rates of legacy currencies in the eurozone. This pivotal move established the euro's value, facilitating the transition to a single currency and promoting monetary stability across Europe as part of the broader Economic and Monetary Union.

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Story summary

On December 31, 1998, the European Exchange Rate Mechanism (ERM II) was implemented, freezing the exchange rates of legacy currencies in the eurozone. This pivotal move established the euro's value, facilitating the transition to a single currency and promoting monetary stability across Europe as part of the broader Economic and Monetary Union.