European banks launch shared QR code system to cut reliance on US payment networks
Major European banks are creating a common QR-code payment network that works across mobile apps, aiming to reduce dependence on Visa, Mastercard and PayPal.
European banks have agreed to build a unified QR-code payment network that any of the five participating mobile-payment apps can read, whether at a physical checkout or on an e-commerce site. This cross-border solution is intended to break one outlet limitation where users can only send money or pay within their own country. The project is driven by a desire for payment sovereignty, as the European Central Bank notes that about 60% of card transactions in the euro zone are handled by international, primarily American, systems.
The effort builds on existing national models like Belgium’s Bancontact and France’s Carte Bancaire, which run entirely domestic infrastructures. In Germany, PayPal already processes a significant share of online payments, highlighting the varied landscape the new network must accommodate. Co-founders of PayPal, Elon Musk and Peter Thiel, are mentioned as notable figures linked to the platform. The consortium hopes the shared QR code will eventually be usable in thirteen European countries.
Why it matters
A unified QR-code system could give Europe greater control over its payment infrastructure and lower fees for consumers and merchants.
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