The Future of Stablecoins: Societe Generale Launches USDCV!
The massive French bank Societe Generale has declared its intention to introduce USD CoinVertible (USDCV), a stablecoin tied to the US dollar, on Ethereum and Solana. By taking this action, Societe Generale may become the first significant European bank to do so.
Why Societe Generale’s USDCV Could Be Europe’s Leading Institutional Stablecoin?
According to a statement made Tuesday, the USDCV coin would be created by Societe Generale’s cryptocurrency-focused subsidiary, SG-Forge, with custody services offered by BNY Mellon, situated in New York. USDCV comes after EURCV, SG-Forge’s stablecoin denominated in euros, which made its debut in April 2023. The overwhelming dominance of U.S. dollars in the worldwide stablecoin market, according to Jean-Marc Stenger, CEO of SG-Forge, made the development of a dollar-backed product an easy next step.
The stablecoin market remains largely US dollar-denominated. This new currency will enable our clients, either institutions, corporates, or retail investors, to leverage the benefits of an institutional-grade stablecoin.
Stenger
As approved Electronic-Money Tokens (EMTs), both of SG-Forge’s fiat-pegged cryptocurrency currencies adhere to the Markets in Crypto-Assets (MiCA) laws. MiCA offers a uniform regulatory framework for digital assets across European states and went into effect in June 2023.
USDCV Launch Highlights Growing Interest in Traditional Finance in Stablecoins
The statement from USDCV is in line with the increasing interest of conventional financial institutions throughout the world. Major U.S. institutions are considering a combined stablecoin venture, according to a recent Wall Street Journal report. John Collison, a co-founder of Stripe, added that integrating stablecoins was of great interest to a number of banks.
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