The euro replaces the national currencies of many European Union member states. Introduced in 2002, it was created to facilitate trade and economic stability among participating countries. The euro operates as a single currency, allowing for easier travel and commerce within the Eurozone, which includes 19 of the 27 EU countries. Prior to the euro, countries like Germany used the Deutsche Mark, France used the French Franc, and Italy used the Lira. The euro aims to enhance economic integration and simplify financial transactions across Europe.