44 Amendments of Chris MACMANUS related to 2023/0212(COD)
Amendment 131 #
Proposal for a regulation
Recital 5
Recital 5
(5) In a context where cash alone cannot answer the needs of a digitalised economy, it is essential to support financial inclusion by ensuring universal, affordable and easy access to the digital euro to individuals in the euro area, as well as its wide acceptance in payments. In this respect, Member States should ensure sufficient and effective access to public entities, in all their different regions, including urban and non-urban areas. Member States should determine the number and geographical distribution of entities on the basis of common indicators. Financial exclusion in the digitalised economy may increase as private digital means of payments may not specifically cater for vulnerable groups of the society or may not be suitable in some rural or remote areas without a (stable) communication network. According to the World Bank and the Bank for International Settlements, “efficient, accessible and safe retail payment systems and services are critical for greater financial inclusion”.24 That finding was further substantiated by the study on new Digital Payment Methods commissioned by the European Central Bank, which concluded that for the unbanked/underbanked/offline population, the most important features of a new payment method are easiness of use, not requiring technological skills, and to be secure and free of charge.25 A digital euro would offer a public alternative to private digital means of payments and support financial inclusion as it would be designed along these objectives, thus catering for free access, easiness of use and wide accessibility and acceptance. Member States should ensure a high level of quality of the support provided and a service which is targeted to the needs of vulnerable consumers. Member States should assess the quality of advice on the basis of common indicators. __________________ 24 https://documents1.worldbank.org/curated/ en/806481470154477031/pdf/Payment- Aspects-of-Financial-Inclusion.pdf 25 Study on New Digital Payment Methods (europa.eu), March 2022. According to the World Bank, financial inclusion means that individuals have access to useful and affordable financial products and services that meet their needs – transactions, payments, savings, credit and insurance”.
Amendment 149 #
Proposal for a regulation
Recital 9
Recital 9
(9) Like euro banknotes and coins, the digital euro should be a direct liability of the European Central Bank or of the national central banks of the Member States whose currency is the euro towards digital euro users. The digital euro should be issued for an amount equal to the face value of the corresponding liability on the consolidated balance sheet of the European Central Bank and the national central banks of the Member States whose currency is the euro, in particular by converting payment service providers’ central bank reserves into digital euro holdings, to satisfy demand from digital euro users. To hold and use digital euros, digital euro users should only need to establish a contractual relationship with payment service providers distributing the digital euro to open digital euro payment accounts and should be able to decide not to link their digital euro payment account to a non-digital euro payment account. No account or other contractual relationship would be established between the digital euro user and the European Central Bank or the national central banks, without prejudice to the possibility of appointing the national central bank as the public entity of a Member State distributing the digital euro. Payment service providers should manage the digital euro accounts of digital euro users on their behalf and provide them with digital euro payment services. Since payment service providers are not a party to the direct liability held by digital euro users towards the European Central Bank and the national central banks of the Member States whose currency is the euro, and are acting on behalf of digital euro users, the insolvency of payment service providers would not affect digital euro users.
Amendment 158 #
Proposal for a regulation
Recital 18
Recital 18
(18) Since the digital euro requires the capacity to accept digital means of payment, imposing an obligation of mandatory acceptance of payments in digital euro on all payees could be disproportionate. To this end, exceptions to the mandatory acceptance of payments in digital euro should be provided for natural persons acting in the course of a purely personal or household activity. Exceptions to mandatory acceptance should also be provided for microenterprises, which are particularly important in the euro area for the development of entrepreneurship job creation and innovation, playing a vital role in shaping the economy. Union policies and actions should reduce regulatory burdens for enterprises of this size. Exceptions to mandatory acceptance should also be provided for non-profit legal entities which promote the public interest and serve the public good performing a variety of goals of societal interest, including equity, education, health, environmental protection and human rights. For microenterprises and non-profit legal entities, the acquisition of the required infrastructure and the acceptance costs would be disproportionate. They should therefore be exempted from the obligation to accept payments in digital euro. In such cases, other means for the settlement of monetary debts should remain available. Nevertheless, microenterprises and non-profit legal entities that accept comparable digital means of payment from payers should be subject to the mandatory acceptance of payments in digital euro. Comparable dDigital means of payment should include debit card payment or instant payment or other future technological solutions used at the point of interaction, but should exclude credit transfer and direct debit that are not initiated at the point of interaction. Microenterprises and non-profit legal entities that do not accept comparable digital means of payment from their payers in settlement of a debt (e.g. they only accept euro banknotes and coins), but may use digital payments in settlement of a debt to their payees (e.g. they pay with credit transfers), should not be subject to the mandatory acceptance of payments in digital euro. Finally, a payee may also refuse a payment in digital euro if the refusal is made in good faith and if the payee justifies the refusal on legitimate and temporary grounds, proportionate to concrete circumstances beyond its control, leading to an impossibility to accept payments in digital euro at the relevant time of the transaction, such as a power outage in the case of online digital euro payment transactions, or a defective device in the case of offline or online digital euro payment transactions.
Amendment 159 #
Proposal for a regulation
Recital 19
Recital 19
(19) In order to ensure that additional exceptions to the mandatory acceptance of the digital euro may be introduced at a later stage if they are required, for example due to technical specificities that may appear in the future, the power to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the European Union should be delegated to the Commission in respect of the introduction of additional exceptions of a monetary law nature to the obligation to accept digital euro payment transactions, which would apply in a harmonised way across the euro area, taking into account any proposals from Member States to this end. The Commission may only adopt such exceptions if they are necessary, justified on grounds of general interest, proportionate, and preserve the effectiveness of the legal tender status of the digital euro, and if other public means of payments are available. The power of the Commission to adopt delegated acts for the introduction of additional exceptions to the obligation to accept digital euro payment transactions should be without prejudice to the possibility for Member States, pursuant to their own powers in areas of shared competence, to adopt national legislation introducing exceptions to the mandatory acceptance deriving from the legal tender status in accordance with the conditions laid down by the Court of Justice of the European Union in its judgment in Joined Cases C-422/19 and C- 423/19.
Amendment 189 #
Proposal for a regulation
Recital 38 a (new)
Recital 38 a (new)
(38a) The unique situation of Northern Ireland requires consideration with a view to enabling citizens living there to use the digital euro on the same basis as citizens in the Eurozone.
Amendment 267 #
Proposal for a regulation
Article 2 – paragraph 1 – point 28
Article 2 – paragraph 1 – point 28
28. ‘user alias’ means a unique pseudonymous identifier, that is different for different transactions in order to prevent the association or tracking of the user across transactions, used to protect user’s identity when processing digital euro payments that can only be attributable to an identifiable natural or legal person by the payment service provider distributing the digital euro or by the digital euro user;.
Amendment 299 #
Proposal for a regulation
Article 9 – paragraph 1 – point a
Article 9 – paragraph 1 – point a
(a) where the payee is a an enterprise which employs fewer than 10 persons or whose annual turnover or annual balance sheet total does not exceed EUR 2 million, or is a non-profit legal entity as defined in in Article 2, point (18), of Regulation (EU) 2021/695 of the European Parliament and of the Council44 , unless it accepts comparable digital means of payment; __________________ 44 Regulation (EU) 2021/695 of the European Parliament and of the Council of 28 April 2021 establishing Horizon Europe – the Framework Programme for Research and Innovation, laying down its rules for participation and dissemination, and repealing Regulations (EU) No 1290/2013 and (EU) No 1291/2013 (OJ L 170, 12.5.2021, p. 1).
Amendment 307 #
Proposal for a regulation
Article 11
Article 11
Amendment 332 #
Proposal for a regulation
Article 13 – paragraph 4 – subparagraph 2
Article 13 – paragraph 4 – subparagraph 2
For the purpose of points (a) and (b), and upon prior approval byreceiving permission from the digital euro users, payment service providers shall link each digital euro payment account to a single non-digital euro payment account designated by the digital euro users. Digital euro users shall be allowed to have that designated non-digital euro payment account with a different payment service provider than the one where a given digital euro payment account is held or decide not to link a non-digital euro account at all.
Amendment 339 #
Proposal for a regulation
Article 13 – paragraph 6
Article 13 – paragraph 6
6. For the purpose of digital euro payment services, digital euro users shall only enter into a contractual relationship with PSPs. Digital euro users shall not have any contractual relationship with the European Central Bank or the national central banks. This is without prejudice to the possibility of appointing the national central bank as the public entity of a Member State distributing the digital euro.
Amendment 344 #
Proposal for a regulation
Article 13 – paragraph 6 a (new)
Article 13 – paragraph 6 a (new)
6a. In case a payment service provider providing digital euro payment services enters into insolvency or other similar proceedings, the digital euro holdings of digital euro users would not be affected.
Amendment 356 #
Proposal for a regulation
Article 14 – paragraph 3 – introductory part
Article 14 – paragraph 3 – introductory part
3. Member States shall designate the authorities, which must be sufficiently resourced and geographically widespread, referred to in Article 1, point (f), of the Directive (EU) 2015/2366, or post office giro institutions referred to in Article 1, point (c), of the Directive (EU) 2015/2366 to:
Amendment 382 #
Proposal for a regulation
Article 16 – title
Article 16 – title
Amendment 388 #
Proposal for a regulation
Article 16 – paragraph 1
Article 16 – paragraph 1
1. For the purpose of Article 15(1) shall limits be established, the European Central Bank shall develop instruments to limit the use of the digital euro as a store of value and shall decide on their parameters and use, in accordance with the framework set out in this Article. PSPs providing account servicing payment services within the meaning of Directive 2015/2366 to natural and legal persons referred to in Article 12(1) shall apply these limits to digital euro payment accounts.
Amendment 401 #
Proposal for a regulation
Article 16 – paragraph 2 – point b
Article 16 – paragraph 2 – point b
(b) ensure the usability, attractiveness to consumers and acceptance of the digital euro as a legal tender instrument;
Amendment 460 #
Proposal for a regulation
Article 17 – paragraph 3
Article 17 – paragraph 3
3. The European Central Bank shall regularly monitor the information that is relevant for the purposes of the amounts referred to in paragraph 2, and publish periodically the amounts resulting from that monitoring with an explanatory report. Based upon these publications, and notwithstanding paragraph 2, the Commission is empowered to set binding caps on merchant service charges and interchange fees chargeable by PSPs to ensure that the digital euro remains attractive to consumers.
Amendment 495 #
Proposal for a regulation
Article 17 a (new)
Article 17 a (new)
Article17a Comparability of fees for optional and value-added services 1. For optional and value-added services Article 3, 4, 5 paragraph 3, 4 and 5, Article 6, 7 and 8 of the Directive 2014/92/EU on the comparability of fees related to payment accounts, payment account switching and access to payment accounts with basic features shall apply to digital euro accounts. Without prejudice to Articles 47 and 48 of Directive 2007/64/EC and Article 12 of Directive 2008/48/EC, Member States shall ensure that payment service providers provide the consumer, at least annually and free of charge, with a statement of all fees incurred for optional and value-added services linked to a digital euro account. Where applicable, payment service providers shall use the standardised terms set out in the final list referred to in Article 3(5) of the Directive 2014/92/EU. The communication channel used to provide the statement of fees shall be agreed with the consumer. The statement of fees shall be provided on paper at least upon the request of the consumer. 2. The statement of fees shall specify at least the following information: (a) the unit fee charged for each service and the number of times the service was used during the relevant period, and where the services are combined in a package, the fee charged for the package as a whole, the number of times the package fee was charged during the relevant period and the additional fee charged for any service exceeding the quantity covered by the package fee; (b) the total amount of fees incurred during the relevant period for each service, each package of services provided and services exceeding the quantity covered by the package fee; (c) the total amount of fees charged for all services provided during the relevant period.
Amendment 538 #
Proposal for a regulation
Article 27 – paragraph 2
Article 27 – paragraph 2
2. The European Central Bank and the national central banks mayshall make mechanisms available for payment services providers to facilitate the exchange of messages for the resolution of disputes. For technical errors, fraud related complaints and commercial disputes arising out of the contractual relationship with the Payment Service Provider or other issues like suspected double spending, a dispute resolution mechanism shall be implemented. Those mechanisms may be operated directly by the European Central Bank or by the providers of support services designated by the European Central Bank.
Amendment 547 #
Proposal for a regulation
Article 27 – paragraph 3 a (new)
Article 27 – paragraph 3 a (new)
3a. This dispute mechanism must be easily available for digital euro users and provide solutions within a reasonable period of time. The PSPs shall adhere to the timelines set out in the Payment Services Regulation COM/2023/367 final2 and the liability regime. The PSPs shall accept the outcome of the dispute mechanism which is monitored by the European Central Bank and national competent authorities
Amendment 569 #
Proposal for a regulation
Article 30 – paragraph 1 a (new)
Article 30 – paragraph 1 a (new)
1a. The ECB and Commission shall jointly within six months of the publication of this legislation lay out precisely how the issue of "double spend", meaning where a digital Euro is duplicated and spent several times, shall be dealt with including how the user shall be reimbursed for their lost funds in cases of a technical problem that does not lie in the area of the responsibility of the user. This report shall consider options such as: a) limiting offline digital euro transactions limited to the amount of 250 euro per transaction b) deactivation of the offline digital euro function in cases of known security vulnerabilities, that risk double spending or other attacks on the digital euro. c) a time limit on how long an offline wallet can go unspent
Amendment 584 #
Proposal for a regulation
Article 32 – paragraph 2
Article 32 – paragraph 2
2. The European Central Bank shall consultand the European Data Protection Supervisor prior toshall jointly developing the details on the operational elements of the fraud detection and prevention mechanism.
Amendment 588 #
Proposal for a regulation
Article 32 – paragraph 4
Article 32 – paragraph 4
4. For the purpose of this Article, payment service providers shall provide the fraud detection and prevention mechanism with information referred to in Annex 5. Payment service providers shall implement appropriate technical and organisational measures including state-of-the-art security and privacy-preserving measures to ensure that the support service shall not be able to directly identify the digital euro users on the basis of the information provided to the fraud detection and prevention mechanism. Payment Service Providers, the European Central Bank and national Central Banks shall implement appropriate technical and organisational measures to ensure that the processing of personal data is carried out in such a manner that the personal data can no longer be attributed to an individual digital euro user without the use of additional information in accordance with Article 4 (5) GDPR.
Amendment 590 #
Proposal for a regulation
Article 33 a (new)
Article 33 a (new)
Article33a Processing of transaction data 1. Data about payment transactions of the digital euro shall only be processed for purposes contained in an exhaustive list and not for commercial purposes or shared with third parties within the open banking framework. 2. The only purposes for which payment data shall be processed are those described in Articles 34-37. 3. In the case a user of the digital euro is reidentified based on pseudonymous data without their consent by the fraud detection unit, the anti-money laundering unit, the ECB or any other law enforcement or public agency, that user has to be informed about their re- identification and its circumstances at the earliest point in time or at the latest when the investigation is concluded.
Amendment 591 #
Proposal for a regulation
Article 34 – paragraph 1 – subparagraph 1 – introductory part
Article 34 – paragraph 1 – subparagraph 1 – introductory part
Payment service providers perform a task ion the public interestbasis of a legal obligation in accordance with Article 6(1)(c) GDPR where they process personal data for the following purposes:
Amendment 595 #
Proposal for a regulation
Article 34 – paragraph 1 – subparagraph 1 – point a
Article 34 – paragraph 1 – subparagraph 1 – point a
(a) the enforcement of limits, including the verification of whether prospective or existing digital euro users have digital euro accounts with another PSP, as referred to in Article 16;
Amendment 598 #
Proposal for a regulation
Article 34 – paragraph 1 – subparagraph 1 – point c
Article 34 – paragraph 1 – subparagraph 1 – point c
(c) the provision of offline digital euro, including the registration and de- registration of the local storage devices as referred to in letter (b) of Annex I;
Amendment 630 #
Proposal for a regulation
Article 36 a (new)
Article 36 a (new)
Article 36a Safeguards against Observability of User Behaviour The digital euro user shall be in full control of the digital euro wallet and their data. The technical architecture shall make it impossible for the issuer of the digital euro front- and backend or third- party services connected to them or the European Central Bank, National Competent Authorities or Payment Service Providers to collect or obtain information about the usage. The processing of transaction data shall not allow to track, link, correlate or otherwise obtain knowledge of transactions or user behaviour. Personal data relating to the provision of the digital euro shall be kept physically and logically separate from any other data held.
Amendment 689 #
Proposal for a regulation
Annex II – paragraph 1 – point a
Annex II – paragraph 1 – point a
(a) opening, holding and clos, closing and switching of a digital euro payment account;
Amendment 695 #
Proposal for a regulation
Annex II – paragraph 1 – point c
Annex II – paragraph 1 – point c
(c) non-automated funding and defunding from a non- digital euro payment account;
Amendment 702 #
Proposal for a regulation
Annex II – paragraph 1 – point g a (new)
Annex II – paragraph 1 – point g a (new)
(ga) access to a dispute mechanism.
Amendment 703 #
Proposal for a regulation
Annex II – paragraph 1 – point g b (new)
Annex II – paragraph 1 – point g b (new)
(gb) digital inclusion support.
Amendment 706 #
Proposal for a regulation
Annex III – point 1 – point iii
Annex III – point 1 – point iii
(iii) information on digital euro payment accounts; includmeaning information on digital euro holdings of the digital euro user and the unique digital euro payment account number; and
Amendment 708 #
Proposal for a regulation
Annex III – point 1 – point iv
Annex III – point 1 – point iv
(iv) information on online digital euro payment transactions, includmeaning the transaction identifier and the transaction amount.
Amendment 710 #
Proposal for a regulation
Annex III – point 2 – point iii
Annex III – point 2 – point iii
(iii) information on digital euro payment accounts, includmeaning the unique digital euro payment account number; and
Amendment 712 #
Proposal for a regulation
Annex III – point 2 – point iv
Annex III – point 2 – point iv
(iv) information of non-digital euro payment accounts, includmeaning the account number of the linked non-digital euro payment account.
Amendment 713 #
Proposal for a regulation
Annex III – point 3 – point i
Annex III – point 3 – point i
(i) the user identifier; includingand the name of the local storage device holders; and
Amendment 714 #
Proposal for a regulation
Annex III – point 3 – point ii
Annex III – point 3 – point ii
(ii) information on the local storage device, includmeaning the identifier of the local storage device.
Amendment 715 #
Proposal for a regulation
Annex IV – point 1 – point i
Annex IV – point 1 – point i
(i) information on digital euro payment accounts, includmeaning the unique digital euro payment account number; and
Amendment 716 #
Proposal for a regulation
Annex IV – point 1 – point ii
Annex IV – point 1 – point ii
(ii) information on online digital euro payment transactions. information linked to an unique digital euro payment account number, includingand the transaction amount.
Amendment 717 #
Proposal for a regulation
Annex IV – point 3
Annex IV – point 3
3. For the purpose of point (c) of Article 35(1), processing shall be limited to the data required for counterfeit analysis of offline digital euro payment transactions: information on the local storage device, includmeaning the local storage device number.
Amendment 719 #
Proposal for a regulation
Annex IV – point 4 – point iii
Annex IV – point 4 – point iii
(iii) information on digital euro payment accounts, includmeaning the unique digital euro payment account number, digital euro holdings of the user, the holding limit selected by the user and the type of digital euro account.
Amendment 721 #
Proposal for a regulation
Annex V – paragraph 1 – point i
Annex V – paragraph 1 – point i
(i) information on digital euro payment accounts, includmeaning the unique digital euro account identifier;
Amendment 723 #
Proposal for a regulation
Annex V – paragraph 1 – point ii
Annex V – paragraph 1 – point ii
(ii) information on online digital euro payment transactions, includmeaning the transaction amount; and
Amendment 725 #
Proposal for a regulation
Annex V – paragraph 1 – point iii
Annex V – paragraph 1 – point iii
(iii) information on the transaction session of a digital euro user, includingand the device internet protocol address-range.