Societe Generale Launches Ethereum-Based Euro Stablecoin

Lavina Daryanani
Source: Reuters

Societe Generale, more commonly referred to as SocGen, recently introduced a stablecoin pegged to the euro. The France-based multi-national financial services company’s digital asset wing, SG Forge, announced that the asset “EUR CoinVertible” will maintain a stable value and it will be traded under the ticker code: EURCV. Revealing the network on which the project is based, SG Forge’s announcement noted,

“EUR CoinVertible is deployed in Euro denomination on the Ethereum public blockchain.”

According to SG Forge, this is the first institutional stablecoin to be deployed on a public network. The stablecoin intends to foster robust settlements for on-chain transactions and provide on-chain liquidity funding and refinancing solutions. Alongside, it also deems to be an “innovative solution” for corporate treasury, cash management, and cash pooling activities. EURCV will be offered to institutional clients and help them bridge the gap between traditional capital markets and digital assets. Elaborating on the essence of the stablecoin infrastructure, Jean-Marc Stenger, Chief Executive Officer at SG Forge said,

“Digital assets with stabilization mechanisms – i.e. stablecoins – built under a robust banking-grade structure will be a key element to increase trust and confidence in the native crypto ecosystem.”

Commenting on the latest development, the executive furthermore added,

“This issuance is a major step in Societe Generale–FORGE’s roadmap to deliver innovative solutions to its clients, either real-money institutions and corporates or entities of the crypto industry, and to facilitate the emergence of new market infrastructures based on blockchain technology.”

SocGen’s stablecoin listings to follow

SG Forge intends to provide exposure to its product to the “largest number of qualified institutional investors.” To do so, it will work with digital asset exchanges and third-party platforms to have the EUR CoinVertible stablecoin listed. The same can be expected to fructify in the coming months. Additionally, it is worth noting that the project’s smart contract has been audited by the Big 4 Accounting firm PwC.

Leaving aside SocGen, other companies from around the world are also working on similar projects. As Watcher Guru reported recently, the National Australia Bank has created its own stablecoin, the AUDN. The same will allow its customers to settle transactions using blockchain technology in real-time using Australian dollars.

The bank intends to launch the stablecoin mid-year for transactions. It will be set up on the Ethereum network and Algorand blockchain. NAB’s stablecoin is fully backed, one-for-one by Australian dollars.

Also Read: National Australia Bank to Launch Stablecoin on Ethereum Network, Algorand Blockchain