Story perspectives

ECB and 25 Banks Aim 2029 Digital Euro, Slash Fees

5/23/2026

Summary

ECB Launches Digital-Euro

The ECB is advancing a digital euro to cut reliance on Visa and Mastercard, targeting a 2029 launch, offering it via banks and mobile wallets, and capping merchant fees that could shave €8-9 billion from private-sector revenues in a €3.4 trillion market.
Twenty-five banks, including ABN Amro and Sabadell, joined a consortium Wednesday to launch a euro-pegged cryptocurrency, while EU lawmaker Fernando Navarrete expects a vote on the digital-euro rules before summer 2026.

Summary

Visa Mastercard Lawsuit

The U.S. Department of Justice accuses Visa and Mastercard of using market dominance to keep merchant fees high.
A proposed Credit Card Competition Act could reshape routing rules for the card networks.
Britain’s Payment Systems Regulator’s consultation requires Visa and Mastercard to submit detailed margin and profitability data by July 3 2026.
UK banks are exploring domestic alternatives, which could reduce reliance on U.S. networks and encourage similar transparency measures elsewhere.

Summary

EPI Links

On February 2 2026 the European Payments Initiative signed a memorandum of understanding with the EuroPA Alliance, linking Wero, Bizum, Bancomat, MB WAY and Vipps MobilePay and reaching 130 million users in 13 countries.
Fintech founders are urged to adopt an infrastructure-agnostic approach, while Wero, launched in 2024, now exceeds 50 million users and €7.5 billion in transfers.
In April 2026 a QR-code proof-of-concept across Bancomat, SIBS-MB WAY and the European Payments Initiative enabled cross-border person-to-merchant payments.

History

Historical Context

In 2008 SEPA instruments began, aiming to turn fragmented national euro markets into a single domestic market, with EU regulators expecting cost reductions of 2–3% of GDP. By 2014 SEPA was fully operational across 41 countries, laying groundwork for the ECB’s digital-euro project, which banks like ABN Amro and Sabadell see as a next step to cut card-network fees.

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ECB Launches Digital-Euro

The ECB is advancing a digital euro to cut reliance on Visa and Mastercard, targeting a 2029 launch, offering it via banks and mobile wallets, and capping merchant fees that could shave €8-9 billion from private-sector revenues in a €3.4 trillion market.
Twenty-five banks, including ABN Amro and Sabadell, joined a consortium Wednesday to launch a euro-pegged cryptocurrency, while EU lawmaker Fernando Navarrete expects a vote on the digital-euro rules before summer 2026.

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