Nine major european banks have joined forces to launch a euro-denominated stablecoin regulated under the trading block’s Markets in Crypto Assets regime (MiCA).
The banking giants involved are: ING, Banca Sella, KBC, Danske Bank, DekaBank, UniCredit, SEB, CaixaBank and Raiffeisen Bank International.
Earlier this year, CoinDesk reported that Dutch bank ING was working on a stablecoin project with some other financial institutions.
This digital payment instrument, leveraging blockchain technology, aims to become a trusted European payment standard in the digital ecosystem, according to a press release on Thursday.
The initiative will provide a real European alternative to the US-dominated stablecoin market, contributing to Europe’s strategic autonomy in payments, the banks said.
The stablecoin will provide near-instant, low-cost transactions and enable 24/7 access to efficient cross-border payments, programmable payments, and improvements in supply chain management and digital asset settlements, the banks said in a joint statement.
The MiCA-regulated stablecoin is expected to be first issued in the second half of 2026.
The stablecoin consortium, with the aforementioned banks as founding members, has formed a new company in the Netherlands, aiming to be licensed and supervised by the Dutch Central Bank as an e-money institution. The consortium is open to additional banks joining. A CEO is expected to be appointed in the near future, subject to regulatory approval.
Individual banks will be able to provide value added services, such as a stablecoin wallet and custody.
“Digital payments are key for new euro-denominated payments and financial market infrastructure. They offer significant efficiency and transparency, thanks to blockchain technology’s programmability features and 24/7 instant cross-currency settlement. We believe this development requires an industry-wide approach, and it’s imperative that banks adopt the same standards,” said Floris Lugt, digital assets lead at ING and joint public representative of the initiative.