- Public model could improve interoperability with infrastructure, but increase state influence over blockchain governance, warns Juan Ignacio Ibañez.
- ECB has not confirmed networks; pilots likely. Private model echoes China; public aligns with current U.S. stablecoin practices.
The European Union is weighing public blockchains for the digital euro. According to the Financial Times, people involved in the project say the European Central Bank is studying networks such as Ethereum and Solana instead of a private ledger. Public chains are open to anyone to read and verify. Private chains restrict data to authorized parties. This design choice would shape access, auditability, and costs.
Officials have not locked in a model
An ECB spokesperson pointed to official guidance that the bank has yet to decide on the architecture. Even so, the discussion reflects policy pressure. Europe wants to reduce reliance on dollar-pegged stablecoins, which account for about 98% of the market.
In April, Executive Board member Piero Cipollone urged cutting stablecoin use in the euro area by introducing a digital euro. Meanwhile, U.S. policy has promoted dollar-linked stablecoins, and China’s central bank has built a state-run system on private rails.
A public design would carry trade-offs
Juan Ignacio Ibañez of the MiCA Crypto Alliance argues that a digital euro on an open chain could interoperate with the tools built on blockchains in recent years. However, he also warns that it could invite stronger state influence over protocol governance. In short, openness can improve connectivity; oversight can tighten control.
There are political and market implications
A public model could let wallets, payment firms, and banks connect more easily to a common ledger, lowering integration costs. Yet it could also intensify debates over data retention, censorship resistance, and node incentives. By contrast, a private model would align with traditional account-based rules but might limit composability with existing on-chain finance.
For now, the ECB has not confirmed any network, schedule, or vendor process. Next steps would likely include pilots, security reviews, and coordination with national authorities. Europe’s goal is clear: issue a digital euro that protects monetary autonomy while fitting modern payment rails. Whether that rail is public or private remains the open question.
