Today, strategic autonomy is often cited as the main justification for the digital euro. Currently, Europe does not have a payment solution—other than cash and credit cards—that can be used in every eurozone country. Moreover, credit card management is in the hands of non-European players. If these players were to withdraw their services from Europe, there would be no modern, digital payment method available for purchases made in shops or online across Europe. Some European countries also do not have their own payment solutions and are entirely dependent on non-European card schemes. This is seen as a potential threat with significant economic consequences.

Febelfin shares the ECB’s concern about strategic autonomy but does not believe that the digital euro, as it is currently being developed, offers an appropriate response to this threat. This is for several reasons:

A digital euro :

• is not the fastest nor most efficient path to European sovereignty,

• gives no added value,

• hampers innovation capacity,

• can have an undesired effect,

• is no guarantee of actual use.

The reasons for this are explained in our Position Paper.