The European Central Bank (ECB) has selected CaixaBank and four other organizations to collaborate in the development of a prototype of a digital euro. The institution launched a call with the aim of selecting entities to develop technology projects associated with the creation of the European digital currency. CaixaBank, is the only European bank selected for the project and will be responsible for producing a prototype for peer-to-peer (P2P) online payments using the digital euro.

Beginning in September and continuing through the end of the year, CaixaBank will create a mobile application that mimics the steps users must take to add digital euros to their accounts and/or send digital euros to other users.

One of the most important factors taken into account by the ECB throughout the selection process was CaixaBank’s vast experience and leadership in the fields of innovation and payment methods, as well as the quality of its services, internal capacity to create such initiatives, and market coverage.

Objective to explore solutions for digital euro payments

The ECB issued a call in April of this year inviting banks, payment service providers, and other key market players to collaborate on the development of prototypes for customer-facing digital euro payment services. 54 businesses responded, ranging from banks to large international technology firms.

The other four businesses chosen for this stage, in addition to CaixaBank, will create prototypes for additional digital euro user interfaces, such as offline P2P payments, POS payments (including distinct procedures depending on whether they are initiated by the business or the customer), and e-commerce payments.

The ECB is actively looking into the potential design of a digital euro. If a digital euro were to be introduced, it would not take the place of currency or other accepted forms of payment but rather would add to them by offering yet another alternative, so promoting financial inclusion and accessibility.

CaixaBank, the leader in innovation

For CaixaBank, innovation and technology are essential. The bank works daily to develop new models that are able to meet the requirements and needs of its customers and that bring its products, services, and financial culture closer to all citizens. With more than 11 million users of its digital banking service, the bank has the largest customer base in the Spanish financial sector.

With a 32.1% market share in-store turnover and more than 3 million mobile payment customers, CaixaBank is the top bank in terms of payment methods. Mobile payments are now an option in CaixaBank’s digital banking app CaixaBankNow and are incorporated into a wide range of payment management services. With versions for iOS and Android, Apple Pay, Samsung Pay, Garmin Pay, and FitBit Pay are also supported by CaixaBankNow. CaixaBank is also the first bank in Spain to support Swatch Pay, enabling transactions using Swatch’s analog watches.

The banking firm boasts diverse teams that spread innovation throughout the entire organization as well as its own technological division, CaixaBank Tech. It has started a number of projects that are based on blockchain technology, quantum computing, artificial intelligence, big data, cloud computing, and other technologies as part of its digitization strategy. These technologies are used to enhance the resources available to CaixaBank’s financial advisors so they can better assist their clients, drive the customization of the bank’s commercial offering to increase customer loyalty, create new financial services, and speed up the decision-making process.

As a result of its digital transformation strategy, CaixaBank has earned numerous international recognitions, including “Most Innovative Financial Institution in Western Europe 2022” by Global Finance and “Most Innovative Bank in the World 2021” at the EFMA & Accenture Awards. CaixaBank is now one of the highest-rated banks in the world for the quality of its digital products and services. It was recognized by Global Finance as the “Best Retail Bank Website Design in Western Europe 2021” and the “Best Retail Banking Mobile Application in Western Europe 2021” in terms of digital banking, earning the title of “Best Digital Retail Bank in Spain 2021.”

The UK magazine PWM (Financial Times Group) named CaixaBank the “Best Private Banking Entity in Big Data and Artificial Intelligence Analysis in Europe 2022” and the “Best Private Bank in Digital Marketing and Communication in Europe 2022” in the private banking category. Global Finance named CaixaBank the “Most Innovative Private Bank in Western Europe 2022.”