The euro was introduced as electronic money in the European Union in 1999 and as coins and notes in 2002.
The currency was created to support economic integration among participating European countries. Before euro cash arrived, prices and bank accounts could already be denominated in euros, while national currencies such as the German mark and French franc continued circulating physically.
Euro banknotes and coins entered circulation on 1 January 2002. The euro is managed by the European Central Bank and the national central banks of euro-area members. Not every European Union country uses it: Denmark has an opt-out, while several other countries have not yet adopted it.
A common mix-up is confusing the euro area with the entire European Union. The euro is also used by some non-EU states and territories under monetary agreements or unilaterally.