BCB Markets, the trading division of BCB Group, has established an agreement with Societe Generale–FORGE to launch EURCoinVertible (EURCV), a euro-linked stablecoin developed by the French bank’s digital asset sector. This collaboration signals a push for greater adoption of fiat-tied digital assets, as institutions explore options aside from the U.S. dollar.

EURCV, which was introduced in April 2023, is designed to comply with the EU’s Markets in Crypto Assets (MiCA) regulation that took effect in the current year. Backed by cash reserves and linked to the euro, EURCV aims to provide stability and clarify regulations around stablecoins in Europe.

“The stablecoin market is largely dominated by dollar-pegged assets, which is beneficial for many, yet we believe the euro warrants its own native, regulated digital counterpart,” stated Jerome Prigent, Managing Director of BCB Europe.

BCB indicated that this partnership would enable a variety of clients, including crypto-native companies and conventional financial institutions, to utilize EURCV for quicker and more cost-effective transactions, particularly in cross-border payments. Prigent mentioned that euro-linked stablecoins may also attract interest from businesses in emerging markets in the Middle East, Africa, and Latin America, looking for alternatives to U.S. dollar-linked tokens for remittances and trade.

In his remarks, Prigent reiterated that euro-denominated stablecoins could reduce cross-border transfer costs by as much as 80%, eliminating the need to route payments through the dollar.

“The collaboration with BCB Markets fosters the growth of the EURCV stablecoin as an effective payment method across diverse regions and use cases,” remarked Jean-Marc Stenger, CEO of Societe Generale–FORGE.

This announcement arrives as the development of regulated stablecoins accelerates in Europe, propelled by MiCA which introduces new standards regarding transparency, reserve management, and issuer licensing.