Major banks in the European Union (EU) are delving into the stablecoin market. This increase in exploration is driven by the recent passing of the Markets in Crypto-Assets (MiCA) regulation, revolutionizing Europe’s financial environment. Societe Generale recently issued its own euro-backed stablecoin, the EUR CoinVertible. At the same time, Dutch bank ING is said to be working on a stablecoin of its own by partnering with several traditional finance and crypto companies. These moves are indicative of increasing commitment to exploring blockchain technology. They help to develop new and innovative payment solutions and drive to dynamic evolving needs—advanced needs of corporate and retail clients.
Societe Generale's subsidiary, SG-Forge, is spearheading the bank's efforts to strengthen its presence in crypto ecosystems with EUR CoinVertible. The introduction of the European MiCA regulation has allowed Societe Generale to issue EUR CoinVertible. The central bank is focused on developing pioneering cross-border remittance and digital payment solutions. These solutions will be built on distributed ledger technology, customized for enterprise clients and financial services institutions. Societe Generale made its euro-backed stablecoin more accessible by opening it to retail investors in 2024.
Circle, a global financial technology firm, has had remarkable success in the European market. They not only obtained an Electronic Money Institution (EMI) license from their home country French banking authority but passed the very first MiCA regulatory framework for their Token. This underlying infrastructure allows Circle to issue USDC and EURC stablecoins. It helps with compliance with MiCA’s regulatory requirements for stablecoins and eMoney tokens.
"By working closely with French and EU regulators, we are now able to offer both USDC and EURC as fully compliant dollar and euro stablecoins to the European market, unlocking the enormous potential of digital assets to transform finance and commerce" - Jeremy Allaire, Circle
MiCA regulation set the first regulatory framework for crypto-assets in whole EU. This opens the door for national banks to issue their own regulated stablecoins. Societe Generale has been working together with other major finance companies and cryptocurrency enterprises on its stablecoin project.
"Robust and regulated stablecoins are essential to the proper functioning, security and institutionalization of crypto-asset markets" - Jean-Marc Stenger, Societe Generale
Sahan De Silva
Industry News Editor
Sahan De Silva offers in-depth, analytic coverage of the blockchain industry, rigorously balancing data-driven insights with accessible explainer pieces. He values collaborative investigation and thorough reporting. In his personal life, Sahan practices photography and is passionate about Ceylon tea culture.
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