EU to build no-fee payments service like Visa/Mastercard and Apple/Google Pay

Motivation: Sovereignty and US Dependence

• Many see an EU-run payment rail as overdue “public infrastructure,” like roads or power.
• A key driver discussed is insulating EU citizens from US political sanctions and corporate decisions (e.g., ICC judges cut off from Visa/Mastercard).
• Some frame it as shifting from a “US grip” to an “EU grip,” with concern that this further erodes national sovereignty inside the EU.

Architecture, Platforms, and Scope

• The initiative is understood as both a central bank digital currency (CBDC) and a card/app payment scheme, not a cryptocurrency.
• It will support physical cards (no phone required) and apps that likely rely on Apple/Google ecosystems and remote attestation, which worries people using de-Googled or FOSS devices.
• Several note the irony of “built by Europeans only” while still depending on US mobile OSes and Chinese/Taiwanese hardware.

Privacy, Control, and CBDC Fears

• Supporters argue GDPR and EU law provide stronger privacy protections than US tech firms, and prefer one secure state-level database to many leaky corporate ones.
• Critics warn CBDCs enable fine-grained control: programmable money, spend restrictions, expiry, targeted account freezes for political dissent, and perfect transaction tracking.
• Some would rather be tracked by EU institutions than US corporations; others reject both.

Banks, Fees, and Competition

• The promise is zero interchange for merchants, undercutting Visa/Mastercard; banks would get standardized, lower fees.
• Skeptics note the EU itself bans card surcharging, making it hard for merchants to steer customers to the cheaper option, contrary to official rhetoric.
• Debate on whether this is meant to “get rid of banks” or simply provide a parallel public rail most people access via banks anyway.

EU Governance, Regulation, and Timing

• Mixed views: some see this as necessary integration and a peace-preserving project; others see mission creep toward a federal superstate with heavy regulatory burdens (GDPR, AML, AI rules).
• Frustration that smaller or less affluent regions (e.g., Brazil, India, Thailand, national QR/instant systems) moved faster, while the EU is seen as late and slow.

Existing Systems and Special Use Cases

• Comparisons to SEPA Instant, Wero, Pix, Swish, and QR-based schemes; some argue the EU should just standardize and interconnect what exists.
• Chargeback protections may be weaker than with current credit cards.
• Some welcome relief from US payment morality filters (e.g., sex work, adult content) if EU rails don’t impose those restrictions.