Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
The cryptocurrency division of the French bank Société Générale — SG-FORGE — has launched its euro-pegged stablecoin EUR CoinVertible (EURCV) on the Stellar blockchain.
The bank stated that the integration with the Stellar network aims to enhance the utilization of the token in blockchain-based financial applications and services involving tokenized assets. SG-FORGE selected Stellar due to its high throughput, rapid transaction confirmations, and low fees.
This development follows a few weeks after SG-FORGE introduced the EUR CoinVertible stablecoin on the XRP Ledger blockchain, which was developed by Ripple. In April 2023, the cryptocurrency division of Société Générale initially issued EURCV on the Ethereum blockchain, and later on the Solana network.
Related Posts
The stablecoin developers assert that EURCV is fully backed by reserves from bank deposits and highly liquid assets at a 1:1 ratio. The token is designed in compliance with the European Union’s Regulation on Crypto-Assets (MiCA).
According to MiCA requirements, stablecoin issuers operating within the European Economic Area must obtain a license for issuing electronic money in at least one EU country. In January, EURCV was also tested by the international banking transfer system SWIFT for transactions involving tokenized bonds.
As reported by DefiLlama, the market capitalization of EURCV is approximately $452 million. In comparison, the two largest stablecoins — Tether’s USDT and Circle’s USDC — have market capitalizations of around $185 billion and $78 billion, respectively.
Previously, the crypto community criticized the EURCV code due to increased banking oversight of transactions. This refers to a mechanism that requires confirmation of operations through a separate transaction by a centralized registrar, which may be controlled by the bank.
