As Europe moves closer to the potential launch of a digital euro, the European Central Bank (ECB) is actively engaging with the public through various media channels to clarify that this new payment method will complement cash rather than replace it, thereby enhancing consumer choice.
Although a final decision on the issuance of a digital euro has not yet been reached, the ECB entered a two-year preparation phase last year, with a launch anticipated no sooner than 2026. In a series of articles published across multiple platforms, ECB executive board member Piero Cipollone advocates for the digital euro, emphasizing that the current lack of a digital alternative to cash restricts freedom in an increasingly digital society.
Cipollone points out that Europeans predominantly rely on electronic payment solutions from foreign firms, with American companies like Visa and Mastercard leading the card market. He argues that a digital euro would merge the ease of digital transactions with benefits akin to cash, making it usable in physical stores, online shopping, peer-to-peer payments, and even offline scenarios.
The proposed digital euro could allow businesses in the eurozone to develop cross-border digital payment solutions more easily, fostering competition in a market currently controlled by a handful of non-European entities, which could help reduce costs for both merchants and consumers.
Additional advantages cited by Cipollone include enhanced privacy compared to commercial payment methods and improved financial accessibility, ensuring no one is excluded. He asserts, “More than just a payment option, a digital euro would bring Europeans closer together in an increasingly digital and unstable world. It would simplify our lives while maintaining our freedom of choice.”
This communications initiative coincides with the ECB’s release of a progress report on the digital euro’s preparation phase.