The European city known as the "City of Canals" is Venice, Italy. Renowned for its intricate waterways and historic architecture, Venice is built on a network of islands in the Venetian Lagoon. Its canals serve as transportation routes, with gondolas and water taxis providing access to various parts of the city. Notable landmarks include St. Mark's Basilica, the Doge's Palace, and the Rialto Bridge. The city's unique charm and rich history have made it a popular tourist destination, attracting millions of visitors each year. Venice's picturesque scenery and cultural heritage continue to captivate those who explore its winding canals.