A Deutsche Bundesbank executive stresses the digital euro and cash will coexist under EU proposals to ensure safe, efficient payments.
Deutsche Bundesbank Executive Board member Burkhard Balz stated the digital euro and cash are complementary, not competing, forms of public money. The remarks came during a conference on the future of payments in Berlin, where Balz oversees cash, payments, and settlement systems at the Bundesbank.
Balz noted the digital euro is part of the European Commission’s Single Currency Package, which includes parallel proposals for both digital and physical euro. The package aims to clarify legal tender status and reinforce cash acceptance in retail while introducing a digital alternative. The proposals are designed to be considered together to adapt to evolving payment habits.
The Bundesbank’s stance underscores a dual approach to maintaining reliable payment options for businesses and consumers in the euro area as digital transactions grow.