French Finance Minister Calls for Euro-Based Stablecoins
French Finance Minister Roland Lescure stated on Friday that Europe needs more Euro-based stablecoins and encourages EU banks to explore tokenized deposits. Lescure said at a cryptocurrency conference in Paris that the issuance of Euro stablecoins is relatively small compared to those pegged to the US dollar, a situation he called "unacceptable."
Major banks around the world are actively experimenting with stablecoins. Stablecoins are cryptocurrencies designed to maintain a stable value and are backed by traditional currencies. Several banks have teamed up to test the technology, particularly after former US President Trump signed legislation last year establishing regulatory rules for stablecoins.
A group of 10 European banks, including ING, Société Générale, and BNP Paribas, formed a company last year planning to launch a Euro-pegged stablecoin in the second half of 2026, aiming to counter US dominance in the digital payments sector.
Lescure said on Friday regarding the plan: “This is exactly what we need, and what we expect.” He added: “I also strongly encourage banks to further explore the launch of tokenized deposits.”
The world’s largest stablecoin, Tether, says its dollar-pegged token has a circulation of over $185 billion; while the Euro stablecoin launched by Société Générale in 2023 currently has a circulation of only 107 million Euros.