‘Euro stablecoin isn’t enough’: EU issuers make case for USD tokens
European issuers say Europe cannot ignore demand for dollar stablecoins as businesses seek USD liquidity for global payments and settlement.
European issuers argue Europe cannot overlook demand for dollar stablecoins, with businesses requiring USD liquidity for global transactions. AllUnity, a German stablecoin provider, recently launched its dollar-pegged USDAU, broadening its MiCA-regulated service beyond euros. Höptner emphasized, "For European corporates to make cross-border payments globally, offering only a euro stablecoin isn't enough."
This move aligns with the EU's ongoing review of its MiCA framework and the ECB's concerns about stablecoins reinforcing the dollar's dominance. Stable Mint CEO James Bennett explained that demand for dollar stablecoins in Europe is rooted in practical business necessities, not something policymakers can easily redirect toward the euro. Bennett added, "Dollar stablecoins are where the demand is, and Europe can't wish that away."
The focus is on who issues these tokens to European users under specific rules. Stable Mint's USDSM has experienced over $380 million in transactions across 3.8 million transfers and is held by more than 2,600 addresses. Fiat Republic CEO Adam Bialy pointed to demand from crypto platforms and stablecoin companies seeking uninterrupted dollar settlement.
"The demand we are seeing is driven by practical needs, not speculation," Bialy asserted, suggesting that a regulated dollar token can minimize friction in cross-border settlement between Europe, the UK, and North America.
Societe Generale-FORGE, a digital asset arm of French banking group Societe Generale, advocates for a diversified market rather than opposing dollar stablecoins. Their USD CoinVertible (USDCV), launched in 2025, caters to trading, settlement, collateral management, and treasury operations. Despite limited size compared to Tether USDt (USDT) and Circle's USDC, AllUnity's Höptner maintained that the focus should not be "US versus Europe" but rather constructing interoperable financial infrastructure linking dollar liquidity with European banks and businesses.
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