Piero Cipollone, ECB Executive Board member, discusses the need for a digital euro, legislation timeline, cybersecurity, and monetary policy outlook in an interview conducted on November 26, 2025.
Piero Cipollone, Member of the Executive Board of the European Central Bank (ECB), was interviewed by Takerou Minami on November 26, 2025.
He emphasized the need for a digital euro to address declining cash use and ensure a unified European digital payment solution. The digital euro would enhance payment resilience, support Europe’s strategic autonomy, and facilitate digital payments across the euro area.
Cipollone highlighted the evolution of money, from cheques to mobile payments, and discussed the risks associated with stablecoins, especially those denominated in currencies other than the euro. He noted that euro-denominated stablecoins pose less risk but still face challenges related to flexibility.
The ECB’s digital euro project is independent of external geopolitical threats, with legislation proposed by the European Commission in June 2023. The European Parliament and Council are reviewing it, with an adoption expected in 2026. The ECB is confident legislation will be in place by then, supported by recent EU summit commitments.
Regarding cybersecurity, the ECB is implementing a multi-site system to prevent disruptions and is incorporating proposals from Baltic States to enhance resilience. Anti-money laundering checks will be performed by banks and payment providers, with privacy maintained through encrypted codes, ensuring user anonymity from the ECB.
Holding limits for the digital euro are under consideration to prevent financial stability risks, with a proposed limit of €3,000 being evaluated. The ECB is open to sharing knowledge and technology with other central banks, including the Bank of Japan, and collaborates on projects like the BIS-led Agora initiative for cross-border payments.
On monetary policy, Cipollone noted that the ECB’s deposit rate remains at 2%, with decisions based on current economic data and risks. He emphasized that risks are balanced and the economy remains resilient. The ECB is cautious about ending rate cuts prematurely due to ongoing uncertainties, including tariffs and global economic pressures.
Regarding exchange rates, the ECB aligns with G7 commitments to market-determined rates and does not support targeted interventions, even if the yen weakens significantly against the euro.
More information can be found on the official ECB press release at ECB Press Release.
