1 minute read / April 16, 2026
Money is changing at a pace that would have seemed unthinkable even a few years ago. In just the last ten years, credit cards, debit cards and mobile phones have displaced cash, with notes and coins being used less and less as physical money gives way to digital.
Given this growing trend, the European Central Bank (ECB) is now working towards the launch of the digital euro – an electronic version of public money – with the aim of providing a safe, secure public option for making digital payments.
The digital euro is non-bank public money. It has the same validity as a physical banknote but in digital form, and it is issued by the ECB without the involvement of private banks. Unlike a bank balance – which is a promise from the bank that could fail – it is as secure as cash.
Digital euros will be stored in a virtual wallet, which will not work like a traditional bank card (whether physical or stored on a mobile phone). Although handling it will be similar, it is fundamentally different because will be linked to public money issued by the ECB, not to money deposited in a private bank.
In February 2026, the European Parliament formally endorsed the digital euro project, describing it as “essential to strengthening EU monetary sovereignty”.
