ECB Invites Merchants to Test Digital Euro Payments Ahead of

2027 Pilot

The European Central Bank (ECB) has opened applications for online and mobile merchants to participate in its upcoming digital euro pilot, scheduled to begin in the second half of 2027. The 12-month pilot will test how a beta version of the proposed central bank digital currency performs in real-world payment environments.

What Happened?

On September 15, 2026, the ECB invited e-commerce and mobile-commerce merchants across the euro area to express interest in joining the digital euro pilot.

The initiative follows the ECB's selection of 36 payment service providers (PSPs) that will support the pilot's payment infrastructure.

The selected merchants will test beta digital euro payments and provide feedback on:

• Online checkout processes
• Mobile payments
• Customer payment journeys
• Merchant integration
• Operational procedures
• Overall user experience

Digital Euro Pilot Starts in 2027

The ECB expects the pilot to begin during the second half of 2027 and run for 12 months.

The beta version will be technically and functionally close to the digital euro envisioned under the proposed legislation, but it will not have legal-tender status during the pilot.

The ECB says the purpose is to test whether the infrastructure is robust, scalable and user-friendly before any potential future issuance.

The central bank currently aims to be ready for a possible first digital euro issuance in 2029, assuming the relevant legislation is adopted in 2026.

36 Payment Providers Will Support the Test

The ECB selected 36 payment service providers from across the euro area after receiving more than 50 applications.

The providers will have different roles:

• Distributing PSPs: Provide users with access to beta digital euro services.
• Acquiring PSPs: Enable merchants to accept beta digital euro payments.
• Dual-role PSPs: Handle both distribution and merchant acceptance.

The pilot will involve the ECB and 19 national central banks, alongside selected merchants and users.

Online and Offline Payments Will Be Tested

The pilot is designed to examine several payment scenarios, including:

• ???? In-store payments
• ???? Mobile payments
• ???? E-commerce
• ???? Person-to-person transfers
• ???? Offline payments

The ECB says offline digital euro payments could eventually allow users to make certain transactions without an internet connection when the payer and recipient are physically close.

Merchants Can Apply Until October 27

Merchants interested in participating must submit applications by 17:00 CET on October 27, 2026.

The ECB will assess applications based on factors including:

• Market reach
• Operational readiness
• Suitability for the pilot
• Ability to support realistic payment use cases

The ECB will also hold an information session for interested merchants on October 6, 2026.

What Is the Digital Euro?

The digital euro is a proposed central bank digital currency (CBDC) for the euro area.

Unlike cryptocurrencies such as Bitcoin, it would be issued within the Eurosystem and distributed through banks and other payment service providers.

The European Commission says the digital euro is intended to provide a common digital payment method across the euro area, including online, in-store and potentially offline payments.

Digital Euro vs. Crypto

The digital euro should not be confused with decentralized cryptocurrencies.

Feature	Digital Euro	Bitcoin
Issuer	Eurosystem/ECB framework	Decentralized network
Type	CBDC	Cryptocurrency
Value	Euro-denominated	Market-driven
Main purpose	Digital payments	Digital asset / monetary network
Central authority	Yes	No
Pilot	Planned for 2027	Already operational

The ECB itself distinguishes the digital euro from crypto-assets, noting that crypto-assets are not backed or managed by a central institution.

Privacy Remains a Key Issue

Privacy is likely to remain an important topic as the project progresses.

The ECB says the digital euro is being designed with strong privacy protections and that the Eurosystem would not be able to identify users or see what they purchase from the payment data it receives.

However, the precise implementation will depend on the final legislation and technical design.

What Happens Next?

The timeline now looks like this:

1. September 2026: Merchant applications open
2. October 6: ECB information session
3. October 27: Merchant application deadline
4. Late 2026 onward: Pilot preparation and integration
5. H2 2027: 12-month digital euro pilot
6. 2029 target: Potential first issuance, assuming legislation is adopted in 2026

Why This Matters for Payments

The pilot represents a major step from design and development toward practical testing.

For merchants, the experiment could provide early insight into how a digital euro might integrate with existing payment systems. For consumers, it will help test whether a central-bank-backed digital payment method can provide a convenient experience across different payment environments.

The pilot itself does not mean the digital euro is launching in 2027. It is a controlled test intended to inform future decisions.

FAQ

When will the digital euro pilot start?

The ECB expects the 12-month pilot to begin in the second half of 2027.

Can merchants apply to participate?

Yes. The ECB is currently inviting eligible online and mobile merchants in the euro area to apply, with applications due by October 27, 2026.

Is the digital euro launching in 2027?

No. 2027 is the planned pilot period, not a confirmed public launch. The ECB currently aims to be ready for a potential first issuance in 2029 if the necessary legislation is adopted.

Is the digital euro a cryptocurrency?

No. The digital euro would be a central bank digital currency, while cryptocurrencies such as Bitcoin operate on decentralized networks.

Final Take

The ECB's decision to invite merchants into the 2027 digital euro pilot marks a significant step in Europe's CBDC project.

With 36 payment providers already selected and merchants now being recruited, the focus is shifting toward testing real payment experiences rather than simply developing the underlying technology.

The bigger milestone remains further ahead: whether the European Union completes the legislative process and whether the ECB ultimately proceeds with a potential 2029 digital euro issuance.