Goodbye Visa and Mastercard: 130 million Europeans switch to a 100% sovereign payment from 2026

Europe is launching a new, sovereign payment network that will replace Visa and Mastercard for 130 million users across 13 countries, marking a significant shift in the continent’s financial independence.

The initiative involves five major national payment systems—Bizum in Spain, Bancomat in Italy, MB WAY in Portugal, Vipps MobilePay in Nordic countries, and Wero in France—forming an alliance to create a unified infrastructure.

This new system will enable seamless, inter-country transactions without routing data through US servers, aiming to enhance digital sovereignty and reduce dependence on American payment giants. A central interoperability hub, managed by a joint entity, will facilitate communication between different systems, with the first phase launching in 2026 for peer-to-peer transfers across 13 countries. Payments in online and physical stores will follow in 2027, covering 72% of the EU and Norway’s population.

Why It Matters

This development represents a major step toward European financial independence, reducing reliance on US-based companies that currently dominate the payment landscape. It could reshape cross-border transactions, enhance data security, and foster digital sovereignty, impacting millions of users and potentially challenging the global dominance of Visa and Mastercard.

Background

European countries have long expressed concerns over the dominance of American payment providers. Previous efforts, such as the EuroPA alliance launched in 2025, have tested the concept with limited scale. The current initiative builds on these foundations, with a broader, more integrated approach. The project aligns with broader EU strategies for digital sovereignty, following remarks by leaders like Christine Lagarde, who emphasized reducing external dependencies in financial infrastructure.

“This new infrastructure will enable Europe to handle billions of transactions independently, ensuring data sovereignty and digital autonomy.”

— European Payment Alliance spokesperson

“Reducing reliance on external payment systems is essential for Europe’s digital sovereignty.”

— Christine Lagarde

What Remains Unclear

Details remain unclear regarding the exact timeline for full deployment, user adoption rates, and potential regulatory hurdles. It is also uncertain how quickly users and merchants will transition to the new system and whether any technical or political issues will delay progress.

What’s Next

The first phase of peer-to-peer transfers will launch in 2026 across the 13 participating countries, with online and in-store payments following in 2027. The alliance will continue to expand coverage and integration, aiming for full operational capacity and widespread adoption within the next few years.

Key Questions

What is the new European payment system?

It is a unified, independent payment infrastructure connecting five national systems to serve 130 million users, enabling seamless cross-border transactions without relying on US-based companies.

When will the system be available for everyday use?

Peer-to-peer transfers will be available starting in 2026 across 13 countries, with online and in-store payments following in 2027.

How will this impact existing payment methods?

The new system aims to complement existing methods initially, gradually replacing or integrating with current payment options as adoption increases.

Will this system be secure and reliable?

Yes, the infrastructure is designed to be robust, with a central interoperability hub ensuring secure and seamless communication among participating systems.

Source: reddit