ECB Reassures on Digital Euro Privacy, But Critics Remain Unconvinced

The European Central Bank (ECB) has sought to reassure digital rights organisations about the privacy features of its upcoming digital euro. According to Piero Cipollone, a member of the ECB's Executive Board, the digital currency will offer 'the highest level of privacy allowed by current technology'.

Cipollone made this statement in August 2026, ahead of the digital euro's expected launch in 2029. The currency will have two payment modes: offline and online. Offline payments will be similar to cash transactions, with only the payer and recipient having access to transaction details.

However, for online transactions, banks involved will be able to identify users solely for anti-money laundering purposes. Cipollone claims this offers greater privacy than a conventional bank transfer.

Not everyone agrees with Cipollone's assessment. Digital rights organisations have challenged the argument that technical mechanisms are sufficient to protect user privacy. They claim that relying on institutional safeguards is not enough and that personal information could be accessed regardless of legal protections.