ECB research shows Europeans have no interest in digital euro
ECB study finds European consumers remain indifferent to digital euro adoption.
European consumers remain largely indifferent to the idea of a central bank digital currency (CBDC), according to a new ECB working paper.
The study, which surveyed about 19,000 respondents across 11 euro-area countries, found that when given a hypothetical allocation of €10,000 (approximately $10,800) across various assets, Europeans dedicated only a minimal portion to a digital euro, reports Cointelegraph.
Instead, they continued to favor traditional payment methods such as cash, current accounts, and savings, raising concerns at the ECB about achieving widespread adoption.
Challenges in Communication and Adoption
The working paper highlights significant communication challenges that could hinder the rollout of the digital euro. Despite the potential for a smooth integration into the financial system with minimal disruption to stability, the study suggests that convincing users of the added value of a CBDC will be difficult.
“This finding also suggests that convincing some users of the value added of a CBDC might pose a challenge for policymakers, and more research will certainly be needed in this area,” the paper noted. It also pointed to promising results from video-based education; respondents exposed to concise, informative videos on the digital euro were substantially more likely to update their beliefs and consider adopting the new payment method.
Global and U.S. Perspectives on CBDCs
The lack of enthusiasm for the digital euro comes at a time when U.S. lawmakers are pushing back against CBDCs. At a recent House Financial Services Committee hearing, Representative Tom Emmer emphasized the need for pro-stablecoin legislation while warning that “CBDC technology is inherently un-American.”
Meanwhile, Deutsche Börse CEO Stephan Leithner has called for the establishment of a permanent digital euro as part of broader reforms to bolster European financial autonomy. As regulatory debates continue both in Europe and the U.S., the ECB faces the dual challenge of refining its policy and effectively communicating the benefits of the digital euro to an audience deeply rooted in traditional financial habits.
Recently we wrote, that the European Central Bank (ECB) is advancing its exploration of conditional payments for the digital euro, a feature that could enable automatic transactions triggered by specific events.
