French investment bank Societe Generale launches Euro stablecoin EURCV, available for trading on Bitstamp

French bank Societe Generale has launched its own Euro stablecoin EURCV, which can be traded on the cryptocurrency exchange Bitstamp. Societe Generale becomes the first major bank to offer stablecoins to retail investors, marking a significant step for traditional financial institutions into the cryptocurrency trading arena currently dominated by professional digital asset companies.

EURCV, Euro Stablecoin Fully Collateralized by Bank Cash Deposits

According to a report by Financial Times, Société Générale, the third-largest bank in France, has launched its own stablecoin EURCV (EUR CoinVertible) on the well-established cryptocurrency exchange Bitstamp.

EURCV is a Euro-backed stablecoin issued on the Ethereum blockchain, with a circulating supply of 10.5 million Euros, fully backed by 100% cash deposits in Euros held by Société Générale, managed by a third party trust, and audited for blockchain security by the auditing firm HACKEN.

Stablecoins are digital forms of cash that track sovereign currencies, making it easier for cryptocurrency traders to buy and sell in the market. Most transactions involving cryptocurrencies like Bitcoin are completed using stablecoins pegged to the US Dollar. Currently, the $130 billion stablecoin market is dominated by Tether registered in the British Virgin Islands and Circle in the United States, with 90% being USD-denominated.

The EU's crypto regulation MiCA is set to take effect next year, and Société Générale's stablecoin is designed to comply with these regulations.

EURCV Available to All Investors

CEO of Société Générale's Digital Assets Department, Jean-Marc Stenger, stated:

We are convinced that banks have a place in this area, and stablecoins denominated in Euros also have a place

While major investment banks like JPMorgan have their own stablecoins, they are only available to a small number of institutional clients. In contrast, Société Générale's stablecoin will be widely used for transactions.

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Stenger also mentioned that as traditional financial institutions explore digital ledgers, the bank hopes its stablecoin can be used for settling transactions of digital bonds, funds, and other assets.

Société Générale's subsidiary SG Forge, responsible for cryptocurrencies, obtained a DASP license from the French financial regulator AMF in July of this year, allowing it to provide digital asset services for buying, selling, exchanging, and custody.

Recently, the Investment Association in the UK officially released a detailed roadmap for the tokenization of UK funds, paving the way for tokenization in the UK fund industry.

Paving the way for tokenization? FCA authorized, Investment Association releases "UK Fund Tokenization" implementation plan