ECB Reaches Framework Agreements With Seven Tech Firms for Potential Digital Euro, Launch Could Be in 2029

The ECB has signed framework agreements with seven technology providers to build components of a potential digital euro — covering fraud detection, secure payment-data exchange and offline payments — with a possible launch targeted for 2029, pending EU legislation and Governing Council ￰0￱ signs framework agreements with seven tech providers for digital euro components Agreements cover fraud and risk management, secure exchange of payment information and offline payment ￰1￱ least one more partner is expected; ECB says contracts involve no payments yet and timeline hinges on Digital Euro ￰2￱ euro framework: ECB signs agreements with tech providers for fraud management, offline payments and secure data exchange; possible launch in ￰3￱ ￰4￱ is the digital euro?

The digital euro is a central bank digital currency (CBDC) under development by the European Central Bank (ECB) intended to provide a secure, widely accessible digital form of central bank money for euro-area ￰5￱ ECB has concluded framework agreements with technology providers to develop core components while preserving final launch decisions for the Governing ￰6￱ will the ECB implement the digital euro components? The ECB announced framework agreements with seven entities and expects at least one additional partner to provide services such as fraud detection, secure exchange of payment information, and software ￰7￱ suppliers include Feedzai (fraud detection using AI) and Giesecke+Devrient (security engineering and offline payment capability).

The agreements are non-payable at this stage and include contractual safeguards that permit scope adjustments to align with the eventual Digital Euro Regulation and any Governing Council ￰8￱ ECB said it had reached agreements with seven entities not yet involving “any payment” responsible for components of the digital euro, potentially launching in ￰9￱ ECB, in its preparation phase for a possible digital euro, has moved from concept to contracting with technology providers responsible for individual components of a central bank digital currency (CBDC). The framework agreements define roles, deliverables and safeguards without authorizing implementation payments ￰10￱ with technology companies for risk and fraud management of the potential digital euro.).

Secure exchange of payment information : Encrypted data flows and interoperability layers for PSPs and ￰11￱ payment capability : Engineering allowing users to make or receive digital euro payments without network ￰12￱ lookup : Senders can route funds using an alias rather than PSP account ￰13￱ could the digital euro launch? ECB officials state that a launch will only occur after the Digital Euro Regulation is adopted and the Governing Council approves the next ￰14￱ ECB official has indicated a 2029 target is possible, subject to legal and policy ￰15￱ regulatory context and stablecoin concerns EU authorities, including the ECB and European Systemic Risk Board, have been vocal about potential market risks posed by certain ￰16￱ are considering restrictions on jointly issued stablecoins and asking lawmakers to address cross-border regulatory ￰17￱ President Christine Lagarde has urged EU legislators to act on risks from stablecoins issued under MiCA and by non-EU ￰18￱ regulatory discussions will shape the digital euro’s design and market ￰19￱ comparison of key components Component Role Example provider(s) Fraud & risk management Detect and prevent illicit activity Feedzai Security engineering Platform design and secure hardware/software Giesecke+Devrient Offline payments Enable payments without network access Giesecke+Devrient (engineering) Alias lookup User-friendly routing without PSP details Various successful tenderers Frequently Asked Questions Will the framework agreements mean immediate deployment? ￰20￱ ECB states these are framework agreements that do not involve any payments at this stage and allow scope adjustments pending legislation and Governing Council ￰21￱ are some named technology partners?

Named participants include Feedzai for fraud detection and Giesecke+Devrient for security engineering and offline payment ￰22￱ successful tenderers will be announced as the process ￰23￱ does the digital euro affect stablecoin regulation? EU authorities are intensifying scrutiny of stablecoins to mitigate market risks, which may influence how privately issued stablecoins coexist with a public digital ￰24￱ Takeaways Framework agreements signed : The ECB contracted seven entities to design digital euro components without any payments ￰25￱ capabilities targeted : Fraud detection, secure payment-data exchange, alias lookup and offline payments are ￰26￱ conditional : A 2029 launch is possible but depends on the Digital Euro Regulation and Governing Council ￰27￱ The ECB’s framework agreements mark a significant operational step toward a potential digital euro , assigning technical responsibilities while preserving legislative and governance ￰28￱ participants and policymakers should watch the Digital Euro Regulation process closely as it will determine timelines and implementation ￰29￱ ongoing coverage and analysis, follow updates from COINOTAG. , "totalTime": "PT60M"