BRUSSELS ― When the European Commission unveiled draft legislation paving the way for a digital version of the euro, its jitters over how to allay privacy concerns were only too apparent.

“This is not a Big Brother project,” Finance Commissioner Mairead McGuinness told reporters on Wednesday after presenting what, if it becomes a reality, will be a virtual extension of euro banknotes and coins and which will settle payments across the eurozone in seconds.

Supporters say the digital euro goes beyond providing a public good and will ensure the currency and European Central Bank remain relevant in a digital economy, where cryptocurrencies circulate and big tech companies dream of printing their own money.

...