ECB’s Survey Participants Desire For Privacy And Security In Digital Euro

The public consultation for the digital euro has been concluded. The online survey which was launched on 12 Oct 2020 and concluded on 13 Jan 2020 was responded by more than 8000 citizens, firms, and industry associations.

The data from the survey shows that privacy of payments ranked highest among the requested features of a potential digital euro (41% of replies), followed by security (17%) and pan-European reach (10%).

The ECB will publish a comprehensive analysis of the public consultation in the spring, which will serve as an important input for the ECB’s Governing Council when deciding whether to launch a digital euro project.

“The high number of responses to our survey shows the great interest of Europe’s citizens and firms in shaping the vision of a digital euro,” said Fabio Panetta, Member of the ECB’s Executive Board and Chair of the task force on a digital euro. “The opinions of citizens, businesses, and all stakeholders are of utmost importance for us as we assess which use cases a digital euro might best serve.”

Search for better payment infrastructure

ECB has been looking for an alternate medium for a faster and secure payment system due to a significant decline in the use of cash in the euro area and the increasing threat from private payment firms such as Libra (now Diem) that if extensively used might pose risk to financial stability and consumer protection.

To address the concerns, ECB is looking to launch a digital euro that combines the efficiency of a digital payment instrument with the safety of central bank money.

If the ECB’s Governing Council approves the launch of the digital euro, it would serve as a complement to cash, but not completely replace it. ECB will continue to issue paper-money in any case.