Wero: Europe’s First Sovereign Payment Solution Takes on Visa and Mastercard
Wero is poised to become Europe’s first sovereign payment solution, emerging as a key competitor to Visa and Mastercard. With rapid expansion across the Single Market, it is positioning itself as a strong alternative to U.S.-based payment networks.
Launched under the European Payments Initiative (EPI), Wero is now live in Germany, Belgium, and France, facilitating cross-border payments across Western Europe. Backed by 16 European banks and two acquirers, including BNP Paribas SA, Deutsche Bank AG, and Worldline AG, Wero aims to establish itself as the first pan-European payment solution aligned with the region’s banking unity strategy.
Describing itself as “a European-grown player committed to offering a sovereign payment solution for all consumers,” EPI’s chairman, Dr. Joachim Schmalzl, emphasized that Wero represents a major step towards Europe’s financial independence. He noted that further features will follow, solidifying Wero as a central solution for transactions across Europe.
In 2023, EPI expanded by acquiring the e-commerce payment network iDeal in the Netherlands and fintech Payconiq International in Luxembourg. This acquisition supports the development of a unified instant payment platform for Europe. EPI’s first service, announced in July, enables person-to-person transfers in under 10 seconds using phone numbers, email addresses, or QR codes, eliminating the need for IBANs.
Looking ahead, Wero plans to introduce services for small businesses in 2025 through QR code-enabled online invoices and expand in-store payment options by 2026. However, despite its growth, Wero is a private initiative and does not intend to replace public funds like the European Central Bank’s digital euro.
The drive for an independent European cross-border payment system has grown since Visa and Mastercard suspended services in Russia after the 2022 invasion of Ukraine, highlighting Europe’s dependence on non-European systems. While Wero has the backing of major European banks, competing with Visa, Mastercard, and PayPal will require significant consumer adoption and expansion into more markets.
EPI CEO Martina Weimert noted that while Wero shows promise, it is still in its early stages, describing the firm as “a kind of startup” rather than a full challenger to its American rivals.