Digital Euro and PSP Margins: The $100 Billion Question Nobody Wants to Answer
Digital Euro and PSP Margins: The $100 Billion Question Nobody Wants to Answer TL;DR The fintech community is increasingly asking a pointed question: if the Digital Euro standardizes payment settlement at a pan-European level, what happens to the margins that Payment Service Providers have built their businesses on? The concern is legitimate — giants like Visa and Mastercard derive enormous value from their proprietary settlement infrastructure, rulesets, and certification frameworks. A standardized public settlement layer could erode the competitive moats that justify current PSP fee structures. Nobody has a clean answer yet, but the question itself signals a structural shift in how Europe thinks about payments. ...