Bundesbank official highlights digital euro's strategic benefits

The digital euro aims to future-proof the single currency, creating a state-of-the-art European payment solution that fosters innovation and resilience.

The Eurosystem is preparing for issuance by 2029, contingent on a legal framework expected by late 2026. A Forsa survey in October 2025 revealed only 42 percent of participants knew about the digital euro, with just over a quarter understanding its nature as an additional digital means of payment.

This highlights a significant public education task.

The digital euro is designed for simple, secure, cross-border cashless payments, usable offline, and offers the highest degree of privacy, with central banks unable to track individual transactions.

This contrasts with current dependencies, as Visa and Mastercard dominate nearly two-thirds of euro area card payments, leaving many countries without national alternatives.

Europe's payments market suffers from strong fragmentation, lacking a single pan-European digital solution.

This void is largely filled by non-European providers, primarily from the United States, which often impose high fees on retailers.

The digital euro is envisioned as a cost-effective alternative, stimulating competition and benefiting both retailers and consumers.

It is not intended to undermine private sector initiatives but rather to complement them; solutions like Wero could integrate the digital euro, creating a win-win scenario.

Furthermore, the digital euro is being designed to enable future innovations, such as conditional payments for specific delivery or service conditions.