A growing chorus of skepticism is challenging the European Central Bank’s (ECB) ambitious plan to introduce a digital euro. New data from the Center for Financial Studies (CFS) at Goethe University Frankfurt, revealed in a report by “Welt” indicates a significant lack of enthusiasm within the financial sector, raising questions about the project’s viability and the ECB’s strategic rationale.
The survey, conducted among financial sector professionals and executives, found that a striking 62.3 percent do not perceive a need for a digital euro, given the prevalence of existing payment methods. This sentiment extends to consumer adoption, with two-thirds of respondents predicting low or very low acceptance rates among private clients. As Volker Brühl, CEO of CFS, noted, “The survey highlights a skepticism towards the digital euro in its currently envisioned form. Most anticipate low customer acceptance.
While the ECB champions the digital euro as a measure to safeguard Europe’s monetary sovereignty and reduce reliance on US-dominated payment infrastructure like Visa and Mastercard, the resistance highlights a deeper concern amongst established financial institutions. Fears are mounting among commercial banks and savings institutions about potential disruption to their business models. These institutions aren’t necessarily objecting to the concept itself-the “what”-but rather the “how” its implementation might erode their core deposit base. The prospect of customers shifting funds into digital wallets, rather than traditional bank accounts, poses a significant threat to these institutions’ traditional revenue streams.
The research also uncovered a near-even split regarding data privacy concerns. Almost half (49.6 percent) of respondents expressed a high or very high risk of inadequate data protection. Brühl emphasized the critical importance of cybersecurity, stating, “The topic of cybersecurity is particularly critical with digital central bank money. The ECB needs to provide better answers than it has so far, even though 100 percent security can never be guaranteed”. This underlines a lack of confidence in the ECB’s ability to comprehensively address the inherent security risks associated with a digital currency.
The ECB’s response to the findings acknowledged the ongoing concerns and reiterated the digital euro’s purpose: to ensure access to digital central bank money for citizens across Europe. They pointed to a separate, commissioned user behavior survey which indicated a reported 66% interest in “trying” a digital euro. However, this expression of curiosity doesn’t necessarily equate to sustained usage or widespread adoption, failing to address the core concerns raised within the financial sector regarding necessity, accessibility and, critically, data security. The timing couldn’t be more critical, as the ECB accelerates preparations for a potential pilot launch in 2027, putting increasing pressure on the institution to meaningfully address these anxieties before full-scale implementation.