Embarking on a new era of money – Do we really need a digital euro?

The way we pay is changing rapidly. In 2024 more transactions in the euro area were processed by card than by cash - a milestone in the history of payments. While the European Central Bank is pushing ahead with the introduction of a digital euro from 2027, the crucial question arises: Is this really necessary, or just a technical gimmick? In our current analysis, we examine why Facebook’s failed Libra project was a wake-up call for central banks and how stablecoins, with a market volume that has explosively grown to over 260 billion dollars, could threaten the traditional financial system. We explain the revolutionary monetary policy opportunities, but also the risks, that the digital euro brings with it, and what the new digital central bank currency means in concrete terms for banks, companies, and consumers. Find out why the digital euro is about much more than just convenience.