The European Central Bank says its digital euro would protect user privacy.The ECB says it could not identify people making or receiving digital euro payments.The ECB says the digital euro could launch as early as 2029 if legislation passes.

The European Central Bank (ECB) says its planned digital euro would limit transaction data available to the central bank.

ECB Executive Board member Piero Cipollone said the system would separate users’ identities from their payments.

“The Eurosystem would not be able to identify the users making or receiving payments,” Cipollone said.

Banks would identify users when required for anti-money laundering checks, while offline payments would keep details between users.

The ECB is not a listed company, so there is no share price reaction to report following the comments.

The ECB also says the digital euro could reduce Europe’s reliance on non-European payment providers, which handle two-thirds of euro-area card transactions.

The ECB says the digital euro could be issued as early as 2029 if lawmakers approve the required legislation.