Digital euro: the ECB selects 36 banks and payment actors for the 2027 pilot, with the participation of French groups

The digital euro takes another step forward. The European Central Bank (ECB) has announced the selection of 36 banks and payment service providers that will participate in the pilot project designed to test the main functionalities of the future European digital currency from the second half of 2027.

Among the selected institutions are several major players in the banking and payments sector in Europe, including the French group BPCE as well as Worldline, one of Europe’s leading payment solutions providers.

A large-scale testing phase

The ECB had launched a call for applications to which more than fifty institutions responded. Thirty-six of them were ultimately selected to participate in a pilot phase that will mobilize thousands of employees from the ECB and national central banks of the eurozone.

Participants will be able to use a beta version of the digital euro to make different types of payments:

• in-store purchases from selected retailers;
• online payments;
• money transfers between individuals.

The objective is to verify the proper functioning of technical infrastructure, ease of use, and integration with existing banking services before any potential circulation.

Several French players among the participants

The presence of the BPCE group, which notably brings together the Banque Populaire and Caisse d’Épargne networks, illustrates the involvement of French institutions in this strategic project for the future of European payments.

Another selected player, Worldline, a French company specializing in electronic payment solutions, will leverage its expertise gained with thousands of merchants across Europe.

Among the other participants are also recognized institutions and companies such as Deutsche Bank, Revolut, Stripe, SumUp, as well as several banks and fintechs from Italy, Germany, and other eurozone countries.

The digital euro will not replace cash

The ECB recalls that the digital euro is not intended to eliminate banknotes and coins.

It would be an additional public means of payment, guaranteed by the Central Bank, complementing cash and private payment solutions already used daily.

Citizens would thus retain the ability to pay in cash, while the digital euro would offer an alternative for electronic payments, particularly in a context where cashless transactions are progressing rapidly.

Circulation still a long way off

This pilot phase does not mean the digital euro will be available by 2027.

The trials must make it possible to assess the technical, operational, and practical aspects of the project. The decision to officially launch the digital euro will also depend on the adoption of the European legislative framework currently being discussed between European Union institutions.

As a result, a possible large-scale circulation is not expected before several years.

Why is this project important?

For the ECB, the digital euro addresses several issues:

• preserving European sovereignty in payments against major international networks;
• offering a public means of payment in the digital era;
• promoting innovation while guaranteeing a high level of security;
• strengthening the resilience of European payment infrastructure.

The project must, however, address concerns expressed by part of the public regarding privacy protection, payment confidentiality, and the future role of commercial banks.

The coming months should clarify these various aspects, as Europe continues building what could eventually become the official digital version of the euro.