European Central Bank Selects Two Digital Euro Networks Ahead of 2027 Trial and Possible 2029 Issuance
Key Facts
The European Central Bank selected two providers of network services to connect participants to the digital euro platform, in preparation for a trial of the currency and its possible future issuance. The bank published the outcome of the selection process on October 30, 2026. The top-ranked provider is a temporary consortium comprising Nexi Payments and Deutsche Telekom Business Solutions, while the second consortium comprises Spain’s Telefónica and Indra. Their task is to provide connectivity between participating payment service providers, national central banks and the digital euro services platform. They will also enable communication between the platform’s components, placing the companies in the connectivity layer required for the project.
The bank said the first contract took effect on September 28, 2026, initially covering the trial’s connectivity needs. The contract for the second-ranked provider starts in May 2027. Selecting two providers allows participating payment service providers to choose between the two networks. This gives the project two routes to connect with the platform and its components, under the bank’s arrangements. The two networks are preparing to provide their services at different stages of the project: the first contract began before the trial, while the second starts next year.
The trial is scheduled to begin in the second half of 2027 and run for 12 months, testing a prototype digital euro in real-world conditions and validating the infrastructure and payments. The bank had selected 36 payment service providers from across the euro area to participate, after receiving more than 50 applications. Tests will cover online and offline person-to-person payments, consumer-to-business payments at points of sale and in e-commerce, including mobile payments. European Central Bank Executive Board member Piero Cipollone said the strong interest “shows the private sector’s readiness to participate actively and move the digital euro project forward quickly.” The participation of payment providers and the selected network will provide routes for testing the service across a range of everyday uses.
The bank presents the digital euro as a complement to cash, not a replacement for it. It also says the Eurosystem will bear the costs of building and operating the core infrastructure, and will not charge scheme or processing fees on digital euro transactions. Banks and payment service providers, in turn, will be compensated for the services they provide, while the details remain under legislative discussion. The bank says the digital currency will provide a common acceptance layer across the euro area. Open standards, according to the bank, could simplify payment acceptance in stores, online and on mobile devices.
The move from trial to issuance depends on completing the European legal framework. On October 6, 2026, the bank said the Council of the European Union had adopted its position in December 2025, the European Parliament had adopted its position in July 2026, and trilogue negotiations had begun. The European Council called for the negotiations to conclude by the end of 2026. The bank links its readiness for a possible first issuance in 2029 to adoption of the necessary regulation by year-end, and says it will not decide on issuance before that regulation is adopted. As part of the trial, the bank is scheduled to begin usability and accessibility testing of the app in 2027, with a design that goes beyond the requirements of the European Accessibility Act.
On the stock front, EL7 data showed DTEGY closing at 28.47 on October 29, 2026, compared with 28.18 on October 23. The available data do not attribute this move to the European Central Bank’s announcement and do not include the daily trading range. The selection of the consortium that includes Deutsche Telekom gives the company a defined role in the digital euro project, focused on providing connectivity services. Both networks are scheduled to be ready from 2029 to provide the connectivity services needed for a possible issuance, subject to a decision by the bank’s Governing Council on the next phase. Any such issuance also remains contingent on completion of the European legislative process.