Nine major European banks have united to develop a euro-denominated stablecoin, scheduled for release in the second half of 2026. The consortium includes ING, UniCredit, CaixaBank, Danske Bank, Raiffeisen Bank International, KBC, SEB, DekaBank, and Banca Sella, representing eight EU member states. A new company will be established in the Netherlands to issue the stablecoin, which aims to become a trusted payment standard in the digital ecosystem.
The initiative is fully compliant with the EU's Markets in Crypto-Assets (MiCA) regulation, ensuring adherence to industry standards. Floris Lugt, ING's Digital Assets Lead, stated, "Digital payments are key for new euro-denominated payments and financial market infrastructure. We believe this development requires an industry-wide approach, and it's imperative that banks adopt the same standards." The stablecoin will enable near-instant, low-cost cross-border payments available 24/7, with features like programmable payments and improved supply chain management.
This euro-pegged asset could challenge the dominance of USD-denominated stablecoins such as USDT and USDC by providing a regulated alternative for euro-centric cryptocurrency trades, potentially reshaping DeFi market dynamics.