Proof. For the first implication, take $X = (V, E)$ as the Eulerian graph with a closed Eulerian trail $T \equiv [v_0 v_1 \cdots v_{k−1} v_k]$ with $v_k = v_0$.
Due to the nature of the trail, for each $v \in V$, the trail $T$ enters $v$ through an edge and departs $v$ from another edge of $X$. Thus at each stage, the process of coming in and going out contributes $2$ to the degree of $v$.
In addition, the trail $T$ passes through each edge of $X$ exactly once and hence each vertex must be of even degree.
Conversely, assume that each vertex of $X$ has an even degree. We need to show that $X$ is Eulerian. We prove the result by induction on the number of edges of $X$.
As each vertex has even degree and $X$ is connected, hence $X$ contains a circuit, say $C$. If $C$ contains every edge of $X$, then $C$ gives rise to a closed Eulerian trail and we are done. So, let us assume that $C$ is a proper subset of $E$.
Now, consider the graph $X′$ obtained from $X$ by removing all the edges in $C$. Then, $X′$ may be a disconnected graph but each vertex of $X′$ still has even degree.
Hence, we can use induction to each component to $X′$ to get a closed Eulerian trail for each component of $X′$.
As each component of $X′$ has at least one vertex in common with $C$, construct the desired closed Eulerian trail as follows :
Start with a vertex, say $v_0$ of $C$.
If there is a component of $X′$ having $v_0$ as a vertex, then traverse this component and come back to $v_0$. This is possible as each component is Eulerian.
Now, proceed along the edges of $C$ until we get another component of $X′$, say at $v_1$. Traverse the new component of $X′$ starting with $v_1$ and again come back to $v_1$.
This process terminates as and when we return to the vertex $v_0$ of $C$.
Thus, we have obtained the required closed Eulerian trail. $\blacksquare$