SG-FORGE, a subsidiary of Societe Generale, a French bank, is set to launch its euro stablecoin, EUR CoinVertible (EURCV), on the XRP Ledger network. This move is part of the company’s strategy to expand to multiple blockchains, with plans to implement the “multi-chain approach” next year pending final technical integrations.
The EURCV stablecoin was initially launched on Ethereum in 2023 as a regulated product to compete with other stablecoin issuers like Circle and Tether. However, it has had limited traction with only 38 million in issuance compared to Circle’s 92 million EURC. In comparison, Tether’s USDT and Circle’s USDC have significantly higher market shares at $126 billion and $37 billion respectively.
Earlier this year, SG-FORGE announced its plans to deploy the EURCV stablecoin on Solana, aiming to leverage the network’s faster and more cost-effective transactions to drive adoption. With the upcoming deployment on the XRP Ledger, the company is looking to take advantage of the network’s cross-border payment capabilities and tokenization features, highlighting its fast settlements and low-cost transactions. Ripple Custody services will be used for the issuance of EURCV on the XRP Ledger.
According to Guillaume Chatain, the chief revenue officer at SG-FORGE, this move marks just the beginning of their innovation journey, and they are excited about expanding their portfolio of digital solutions. Markus Infanger, SVP at RippleX, emphasized the importance of bringing trusted stablecoins like EURCV onto the XRP Ledger to enable institutional use cases such as payments.
Stablecoins, which are cryptocurrencies pegged to fiat currencies, are gaining popularity for cross-border payments due to their efficiency and cost-effectiveness. As regulations for stablecoins are being rolled out globally, more banks are exploring the issuance of their own stablecoins. For instance, Spanish bank BBVA plans to launch a stablecoin on Ethereum next year using Visa’s tokenization platform.
Ripple is also progressing with its plans to introduce its U.S. dollar stablecoin, RLUSD, which is currently awaiting regulatory approval from the New York Department of Financial Services. Monica Long, the president of Ripple, mentioned in an interview with CoinDesk that the token is “operationally ready.”
Overall, the expansion of SG-FORGE’s EURCV stablecoin to the XRP Ledger reflects the growing interest in stablecoins for facilitating payments and the increasing adoption of digital assets in the financial sector. With advancements in blockchain technology and regulatory frameworks, the future of stablecoins looks promising for enabling efficient and seamless financial transactions globally.
