In an interview with Milano Finanza, European Central Bank Executive Board member Piero Cipollone reviewed preparations for the digital euro, reiterating plans for a 2027 pilot and a possible rollout as early as 2029. The pilot will involve real transactions by ECB and national central bank staff, with 36 market operators already contributing to preparations. An issuance decision remains dependent on completion of EU legislative negotiations. Cipollone expressed hope for adoption of the regulation by the end of 2026, which would also allow completion of the technical rulebook so banks, payment operators and merchants can prepare their systems. The proposed digital euro would provide a European alternative to non-European payment infrastructure, complementing cash and private payment services rather than replacing them. Cipollone argued that greater competition and legislative caps on costs would help smaller merchants, whose payment fees can be up to four times those paid by large operators. Banks and other authorised intermediaries would distribute the digital euro and retain customer relationships. Users could access it through their bank’s app or a standard Eurosystem app, without opening an account at the ECB. Cipollone also reiterated the distinction between holding limits and payment limits. Wallet balances would be capped to safeguard financial stability, but payments exceeding the available balance could draw the remainder automatically from a linked current account. Offline payments would work directly between devices without an internet connection, keeping transaction details between payer and payee and allowing merchants to accept payments when other digital methods are unavailable. These features continue the previously outlined design combining access to public money with safeguards for bank intermediation.
European Central Bank’s Piero Cipollone reviews digital euro pilot plans and conditions for possible 2029 rollout
In a Milano Finanza interview, European Central Bank Executive Board member Piero Cipollone reiterated plans for a digital euro pilot in 2027 and possible rollout in 2029, subject to EU legislation and an issuance decision. Banks and authorised intermediaries would retain customer relationships, while wallet holding limits would protect financial stability without limiting payment amounts. Offline functionality and a common European infrastructure would provide an alternative when other digital payment services are unavailable.