When most of you open your wallets, you’re likely to see a few banknotes, several bank cards and perhaps some retail store loyalty cards. However, what you see inside is also a mirror of the broader payment culture within the European country you’re from. While people in some regions are taking a full-on approach towards a cashless society and instead using e-wallets and cryptocurrencies for payments, others are sticking to more traditional methods such as cash and bank cards.

A survey conducted by BearingPoint in December 2025 provides a good indication of how Europeans purchase goods and services based purely on where they’re located on the continent. 10,000 people across nine European countries took part in the survey, and today we’re looking at the results.

The Cash Divide – Germany and Austria vs the Nordics

The main takeaway from the survey is that there is a massive divide in cash usage across Europe and the Nordics. Depending on where you’re from, attitudes can vary. In some countries, people are stubbornly holding onto the traditional forms of payment they grew up with, namely cash and cards, while in others, they are barely using money at all these days.

One of the best examples we came across in the study is that of Germany and Austria compared to many Scandinavian countries. If you’re German or Austrian, it’s likely you still use cash most of the time. According to the survey results, 73% of Germans and 71% of Austrians still regularly pull notes and coins from their wallets, respectively.

As you’ll see in the table below, that’s far from the case in most Nordic countries, where cash is no longer the number one choice for payments.

Country	People Who Frequently Use Cash	Key Insight
Sweden	25%	More than a quarter of the population says they never use cash at all
Denmark	32%	The majority of Danish people use bank cards and mobile payments more than cash
Finland	42%	Cash is no longer the primary payment method among Finnish people
Norway	3%	Norwegians are close to becoming the first country to fully embrace a cashless society

While it’s clear most Scandinavians are more open to adopting cashless payment methods to purchase their goods and services, it’s the stats of Norway that catch the eye more than any other. As only 3% of the population regularly use cash, many businesses had previously stopped accepting it at all. It caused such a stir that the government, through new legislation passed in 2024, even had to step in to force companies to accept cash payments.

There are plenty of other examples of the contrast between different cultures and countries. Take the Netherlands and Italy, for instance. In the Netherlands, cash is used just 17% of the time, while the figure is 50% in Italy. There is no rhyme or reason behind the stats from one country to the next.

However, we can see that the payment climate is consistently changing, as is made clear by the stat that cash now accounts for just 59% of all transactions across Europe.

Cards and Mobile Wallets – The Quiet Dominant Force

A deeper look at the BearingPoint study results shows that it is cards and mobile wallets that have become a dominant force in most European countries. The convenience of scanning a chip or tapping a mobile screen is winning throughout the continent. People in the Netherlands use phone payment methods the most, with one in five transactions being completed by online wallet. Ireland and Finland are not too far behind either, where wallets like Google Play and Apple Pay are used for one in ten payments.

Noticing the growing trend of increasing numbers of Scandinavians using payment apps, companies from several countries have even merged to create a single mobile payment platform to serve people across borders. Norway’s Vipps, Denmark’s MobilePay and Finland’s Pivo joined forces to create Vipps MobilePay, which now has an astonishing 12 million users across the three countries.

Enter Crypto – Stablecoins Considered the Future

Cryptocurrencies have long been thought of as the future of payments, but if you assumed it would be Bitcoin taking center stage, it isn’t. Stablecoins are typically thought of by as the most practical cryptocurrencies for real-world payments. However, we’re not talking about recognized stablecoins like Tether, which is pegged to the value of the US Dollar. Instead, several digital currencies tied to the value of the EUR look the likeliest to become dominant cryptos.

5 Stablecoins Tied to euros

EURC (Euro Coin)
EURS (Stasis Euro)
EURCV (Euro CoinVertible)
EURA (Angle Protocol)
EURe (Monerium)

A major catalyst behind this shift is the creation of the EU’s Markets in Crypto-Assets Regulation (MiCA). The crypto licensing framework came into effect throughout 2024 and 2025, bringing with it reserve requirements for stablecoins to operate in the European market.

Under MiCA, all stablecoin issuers, whether pegged to the US Dollar, Euro or any other fiat currency, must obtain authorization and meet reserve and disclosure requirements to offer their tokens within the EU.

As exchanges adapt to the new rules, some began to prioritize Euro-denominated stablecoins. This would help expand the role of EUR-backed digital currencies in everyday payments.

EURC – The Euro Stablecoin That MiCA Built

EURC, a Circle Internet Financial-owned cryptocurrency, is the stablecoin that has benefited the most from MiCA’s regulation. As of right now, there is close to €360 million of the digital currency in circulation, while it also has a large share of the Euro stablecoin market.

While EURC’s growth is mostly a result of being in the right place at the right time of the EU-wide regulation, it was three major integrations that have allowed the crypto to build the market share it now has. Those integrations are:

A partnership with Ingenico that enabled EURC compatibility across millions of POS terminals.
Wirex launched dual-stablecoin settlement through Visa on the Stellar network.
Morpho Labs introduced vault integrations that allow users to generate yield.

However, EURC is unlikely to have everything its own way in the future. A couple of other stablecoins are merging, which are tipped to provide significant competition for EURC going forward.

EURCV: This is a EUR-backed stablecoin developed and owned by Société Générale through its digital asset subsidiary SG-FORGE. It is fully MiCA-compliant and primarily focuses on institutional use and DeFi lending integration.
Qivalis: Cited to launch during the second half of 2026, Qivalis is a stablecoin backed by a consortium of a dozen European banks.

Bitcoin and Beyond – Still Niche but Growing

We shouldn’t discount Bitcoin as it is still relevant. With that said, although it is the most recognized cryptocurrency throughout Europe and the rest of the world, it is up against it in terms of competing with stablecoins as a real-time payment method at European retailers. Adoption of Bitcoin has fallen well behind, even taking into account the faster transactions now possible across its Lightning Network.

The Digital Euro – Will it Complement or Become a Competitor?

Of course, we also have the Digital Euro on its way, but there has been debate about whether it would complement existing payment methods, including stablecoins, or replace them.

The Digital Euro is being created by the European Central Bank as a CBDC set to co-exist alongside regular cash. Its future is looking good, too, especially if the BearingPoint survey is anything to go by. Results show that one in three of the people surveyed is likely to use the currency. Ironically, it is Austrians, who still use cash more than most, who top that list, with 40% admitting they would use the Digital Euro.

As for the reasons for this, trust seems to be the main driver behind most people’s decisions. As the currency is being created by a regulated financial institution, they’re more willing to use the currency over typical cryptocurrencies. But would the Digital Euro replace other payment methods? Not according to the survey, as most believe it will complement what’s already available.

What This Means for the Crypto Sector

Cryptocurrencies certainly have a role to play in Europe going forward, but MiCA will, by and large, determine that role. It is clear that stablecoins meeting MiCA compliance have the advantage, with several already being increasingly adopted into real payment infrastructure.

Europe’s payment system as a whole is not straightforward to understand. There is still a large amount of variance from one country to another. While mobile payments are on the rise throughout the continent, there are still countries where regular cash remains the number one option with residents.

In short, change is certainly happening, but the rate of this change is heavily dependent on the country you live.

Frequently Asked Questions

Which European country uses cash the most in 2026?

Germany tops the rankings with regard to using cash for transactions. 73% of those surveyed said they had recently used physical money to make a purchase.

Is Sweden really almost cashless?

A cashless society is certainly closer in Sweden than it is in most other European countries. Only a quarter of the population regularly uses cash, while 25% also say they never pay using physical money.

What is EURC and why does it matter for European payments?

EURC is a MiCA-compliant stablecoin that is pegged to the Euro. It currently holds a large market share of the stablecoin market in Europe.

How has MiCA regulation changed crypto payments in Europe?

It introduced licensing and reserve requirements for stablecoin issuers operating in the European market. As exchanges are prevented from listing stablecoins from issuers which have not received authorization, such as Tether, it has helped create momentum for regulated euro-denominated alternatives like EURC and EURCV.

What is the Digital Euro and when will it launch?

The Digital Euro is a digital currency being created by the European Central Bank. At the time of writing this article, no launch date has been made public.

Do any European countries require businesses to accept cash?

Yes. In Norway, where only 3% of people regularly use cash, businesses were forced to accept NOK, something many had stopped doing.