Société Générale Launches Euro-Pegged Stablecoin, Enters Stablecoin Market

French Banking Giant Makes a Move

Société Générale, France’s third-largest bank, has become one of the first European banking giants to enter the stablecoin market. The bank has launched its native euro-pegged stablecoin, EUR CoinVertible, which will be available on the Bitstamp crypto exchange based in Luxembourg.

Fully Backed by the Euro

EUR CoinVertible is fully backed by the euro, giving bank customers the opportunity to participate in the digital asset market. This stablecoin will be accessible to a wide range of customers and can be used for trading purposes.

A Focus on Usage in Trade Settlements

Société Générale Forge CEO Jean-Marc Stenger emphasized the importance of a stablecoin denominated in euros and highlighted that EUR CoinVertible has been developed with a focus on its usage in settling trades involving digital bonds, funds, and various assets. The versatility of this stablecoin extends beyond Société Générale's platform and can be embraced by different financial service providers.

Expanding the Stablecoin Market in Europe

The stablecoin market dominated by US dollar-pegged stablecoins, such as Tether and Circle, is now seeing a major development with Société Générale's entry. While Tether and other market leaders are working towards expanding the stablecoin market in Europe, Stenger considers the bank's move more than just a novelty.

Use in Green Bond Investment

Axa Investment Managers recently used the native EUR CoinVertible stablecoin to invest in Société Générale's digital green bond, which has a value of 10 million euros and a maturity of three years.

A Familiar Player in the Crypto Domain

Société Générale has been actively involved in offering crypto exposure to its customer base for years. In fact, its crypto subsidiary, Forge, became the first company to obtain the highest access license for providing crypto services in France earlier this year.

Implications for the European Landscape

Société Générale's entry into the euro-pegged stablecoin market could have significant implications, especially with the European Union's MiCA regulation set to come into force next year.