Digital Euro: What it is, how it will work and when it’s coming

As Europe advances into a more digital future, the European Central Bank is preparing the launch of a Digital Euro—a virtual version of cash designed to coexist with coins and notes. Unlike cryptocurrencies, this digital currency is stable, state-backed, and not subject to speculation. Its goal? To provide a secure, public alternative to current online payment systems without relying on private companies.

What is the Digital Euro?

The Digital Euro is a virtual form of the traditional euro, backed by the European Central Bank. It won’t replace physical money but will complement it, ensuring citizens can make payments both online and offline, even without internet access. Unlike cryptocurrencies, its value is fixed: one Digital Euro equals one euro in cash.

How will it work?

You’ll be able to store Digital Euros in a wallet or physical card, issued by your bank or public institutions like the postal service. It’s designed to be simple and accessible: no smartphone required, and no fees involved in everyday use. You can load your wallet with money from your bank account or by depositing cash, and then use it to pay in stores, send money to friends, or shop online—all without involving private intermediaries like Visa or Mastercard.

When is it coming?

Currently in a preparation phase, the Digital Euro project is still under development with active trials and experimentation. A full rollout is expected in a few years, but the groundwork is already being laid through pilot programs involving dozens of European companies.