- Nine top European banks set to launch a Euro stablecoin in 2026.
- A licensed entity in the Netherlands will oversee the upcoming stablecoin project.
- The group wants European businesses to handle digital payments locally.
Nine major European banks – ING, Banca Sella, KBC, Danske Bank, DekaBank, UniCredit, SEB, CaixaBank, and Raiffeisen Bank International, have formed a consortium to launch a MiCA-compliant, euro-denominated stablecoin by year 2026.
The project is designed to give European businesses and consumers a regulated on-chain payments option that reduces reliance on foreign stablecoins (think of U.S. dollar-pegged USDT / Ripple USD (RLUSD)).
A licensed entity in the Netherlands will manage the rollout and seek an e-money license from the Dutch central bank to ensure full compliance with EU law.
A new regulated euro stablecoin
Crypto journalist Colin Wu noted that the venture will seek an e-money license from the Dutch central bank. He also stated that the group aims to set a European digital payments standard while inviting more banks to join.
In the meantime, a respondent to Wu’s post about the project on X noted that pooling resources and regulatory expertise would enable the banks to accelerate compliance and stability. He believes the move will encourage wider participation from both consumers and institutions, potentially positioning Europe as a global leader in regulated digital finance and cross-border euro transactions.
Related: UAE’s First Regulated Stablecoin to Be Issued by First Abu Dhabi Bank
Strategic Goals for Europe
According to Fiona Melrose, UniCredit’s Head of Group Strategy and ESG, the initiative will address the existing demand for a trusted on-chain payments solution. Melrose emphasized that collaboration among European institutions could support the region’s economic growth and strengthen its payment ecosystem.
Outlook
A euro stablecoin will undoubtedly encroach on the dollar-dominated payments ecosystem within the European region. The consortium’s move could trigger a new battle for dominance between the US and EU regions, considering the many efforts by the Donald Trump administration to establish the US as the world’s crypto capital.
Meanwhile, it is worth noting that the European banks’ primary goal is to become the standard for euro-backed digital payments while offering low-cost, always-available settlement. They aim to provide a way for European users and businesses to handle their digital payments without relying on foreign stablecoins.
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