ECB executive says a Europe‑run digital euro is vital to payments sovereignty

European monetary authorities are reframing a central bank digital currency as an instrument of strategic autonomy rather than a mere technical experiment. An ECB board member told Spanish media that shifting global tensions and the growing influence of non‑European payment platforms strengthen the case for a payments rail that the EU directly controls. The official connected the move to a steady decline in cash’s share of everyday transactions, using that trend to argue central banks must evolve how public money is supplied. He signalled support for making the digital form of central bank money interoperable and widely accepted by merchants, effectively creating a single, open standard for retail payments across the bloc. That position rejects calls to pause the public project in favor of waiting for private sector consolidation and pushes back on proposals that the digital token be limited to offline use only. The ECB representative framed the initiative as a way to incentivize banks and fintechs to build a unified retail payments layer rather than fragmenting services across national or commercial schemes. Legally designating the digital instrument as acceptable tender for merchants would have immediate operational consequences for point‑of‑sale and e‑commerce systems across Europe. The argument combines policy, legal design, and infrastructure choices: who issues money, who operates rails, and which technologies underpin cross‑border retail flows. If implemented, the move would shift market incentives, potentially crowding in European providers and reshaping how card, wallet and bank payment systems interconnect. It would also raise practical questions about merchant compliance, technical onboarding, liability, and privacy protections. For regulators and market participants, the policy tradeoffs are clear: greater strategic independence versus implementation complexity and potential disruption to incumbent payment businesses. The debate is also political — balancing open markets with industrial policy to secure critical financial plumbing. The next phase will determine whether the public proposal becomes a catalyst for private sector alignment or a parallel system that increases competition and regulatory oversight.