Seventy economists and public policy experts have urged Members of the European Parliament to support the creation of a digital euro as a public service. In a joint open letter, they warn that without a strong public alternative, Europe’s payment landscape could be dominated by private stablecoins and foreign technology companies—putting part of Europe’s monetary sovereignty at risk.

The letter, titled Digital Euro: Let the Public Interest Prevail!, was published on Sunday. Its signatories include economist Thomas Piketty and former European Bank for Reconstruction and Development vice president José Leandro, who describe the digital euro as a public good. According to them, it is essential that Europeans retain access to central bank money in the digital age, just as they do today with physical cash.

The authors call for a pan-European digital payment instrument issued by the Eurosystem, free for basic use, and designed to complement—not replace—cash. They warn that if the EU weakens or delays the project, citizens and merchants could become even more dependent on private card schemes and global technology platforms. This, they argue, would undermine the resilience and autonomy of Europe’s payment system, particularly in times of crisis.

The ECB Is Already Preparing the Digital Euro

The appeal comes as the European Central Bank has entered the so-called preparation phase of the digital euro project. The ECB is working on the rulebook, technical architecture, and the possibility of offline payments—transactions made without an internet connection. A final decision on whether to launch the digital euro has not yet been made.

The ECB describes the digital euro as a public, pan-European payment solution that would provide “cash-like” access to central bank money. Proposed safeguards to protect financial stability include limits on how many digital euros an individual can hold and tiered remuneration.

ECB Executive Board member Philip Lane emphasized last week that the goal of the project is to balance innovation, privacy protection, and the continued role of banks as intermediaries in the payment system. According to the ECB, the digital euro could enable features such as conditional payments or secure offline transactions while complying with anti–money laundering rules and data protection requirements.

Banks’ Concerns and the Focus on Privacy

The project has also faced criticism. Commercial banks and some policymakers fear that a digital euro could drain deposits from banks, increase costs, and ultimately fail to gain widespread public adoption. Consumer surveys indicate that strong privacy protection is a key condition for public acceptance.

Analysts at BNP Paribas note that the benefits of the digital euro must be carefully balanced against its potential impact on banks’ funding and profitability, with outcomes largely dependent on how holding limits and remuneration are designed.

When asked about the open letter, the ECB did not respond directly but referred to its recent studies. One examines the impact of a digital euro on financial stability with an individual holding limit of €3,000 and concludes that even in adverse scenarios, no major risks emerge. Other papers address the integration of the digital euro into the existing payment ecosystem, privacy safeguards, and investment costs for banks across the euro area.

Sources:

https://sustainablefinancelab.nl/wp-content/uploads/sites/506/2026/01/The-Digital-Euro-Let-te-public-interest-prevail.pdf

https://www.ecb.europa.eu/press/key/date/2026/html/ecb.sp260109~7a044d36db.en.html

https://www.ecb.europa.eu/euro/digital_euro/progress/html/ecb.deprp202510.en.html

https://www.euronews.com/my-europe/2025/09/25/european-consumers-want-a-reliable-easy-to-use-and-free-digital-euro-survey

https://economic-research.bnpparibas.com/html/en-US/Digital-euro-cost-hide-another-11/10/2025,52974

https://www.ecb.europa.eu/euro/digital_euro/timeline/profuse/shared/pdf/ecb.deprep251010_technical_annex_financial_stability_impact_digital_euro.en.pdf?f55d1581c257d73d86ad560edce18c17

https://www.ecb.europa.eu/euro/digital_euro/faqs/html/ecb.faq_digital_euro.en.html#q9

https://www.ecb.europa.eu/euro/digital_euro/timeline/profuse/shared/pdf/ecb.deprep251010_a_view_on_recent_assessments_of_digital_euro_investment_costs_for_the_euro_area_banking_sector.en.pdf

https://www.ecb.europa.eu/euro/digital_euro/timeline/profuse/shared/pdf/ecb.deprep251030_digital_euro_fit_payment_ecosystem_report.en.pdf