Image by Ledger Insights
Yesterday Banking Circle announced the launch of EURI, a MiCAR compliant Euro-pegged stablecoin. Banking Circle has a Luxembourg banking license but doesn’t serve retail clients directly. Instead, it provides correspondent banking and global payment services to companies, including fintechs such as Stripe and Airwallex. It says one of its aims is to is to enable 24/7 access to digital money and out-of-hours settlement.
Banking Circle claims to be the first MiCAR compliant stablecoin issued by a bank. Technically, that’s correct. Societe Generale FORGE (SocGen FORGE) has the EURCV stablecoin which it launched in 2023. SocGen FORGE received a license in France as an electronic money institution in time for MiCAR coming into force on 30 June this year. However, SocGen FORGE is not itself a bank. It is a subsidiary of a systemically important bank.
For EURI, Banking Circle will use a bankruptcy remote structure to hold the stablecoin reserves, with the EURI token available on the Ethereum blockchain and Binance’s BNB Smart Chain. The token will initially be available via the Binance crypto exchange and it partnered with Fireblocks to use its Tokenization Engine.
Retrieved from: https://www.ledgerinsights.com/banking-circle-launches-micar-compliant-stablecoin/
