As we bring in-depth industry knowledge on Payments, Banking, and Insurance & Pension practices, we want to highlight an important topic going on in the Banking market which relates to how the Digital Euro Project has started the prototyping exercise.
 
As part of the investigation phase of the digital euro project, which started in October 2021, the ECB has selected five companies (Amazon, CaixaBank, Worldline, EPI, Nexi) for the joint prototyping exercise https://lnkd.in/dhYKFBye . The aim of this prototyping exercise is to test how well the technology behind a digital euro integrates with prototypes developed by these companies. Simulated transactions will be initiated using the front-end prototypes developed by the five companies and processed through the Eurosystem’s interface and back-end infrastructure. The prototyping exercise is expected to be completed in the first quarter of 2023.
 
Prototyping is an essential element in (digital) transformation strategies as it will save time, money and effort in the long run. It allows for quick feedback rounds and to test and review real-life product cases in the early stages of strategic transformations. In this way prototyping helps to define and refine the route to a successful transformation. The strategic objective of a digital euro issued by the Eurosystem would be to provide a monetary anchor in the digital age, serving as a public good. It could foster innovation, increase the efficiency of payments, and support the overall economic efficiency of the European Union.