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SG FORGE, a subsidiary of the Société Générale group, has just announced the debut of the stablecoin EURCV on Ripple in collaboration with the custodial solution Metaco.
After launching its own cryptographic product on Ethereum and Solana, the fourth French bank aims to expand its offering of MiCa Compliant coins.
EUR CoinVertible (EURCV) thus gains more visibility, while benefiting at the same time from the scalability and low cost of the XRP Ledger.
All the details below.
Summary
Société Générale inaugurated its own stablecoin EURCV on Ripple’s XRP Ledger
The cryptocurrency division of the Société Générale group has just announced the intention to distribute EURCV on the Ripple blockchain via Metaco.
The stablecoin in question, in compliance with the new European regulation “Markets in Crypto Assets” (MICA), will soon become part of the XRP Ledger family.
After SG FORCE launched the same coin on the Ethereum and Solana chains, it now aims to increase its user base with this move.
Ripple is one of the most used crypto networks in the world, with 1,750 applications developed within it over the last 10 years.
Since its inception, it has processed over 2.8 billion protected transactions and supported approximately 5 million active wallets, generating an excellent infrastructural reputation.
The landing on Ripple, managed through the deploy of Metaco, will also allow the stablecoin EURCV to benefit from significant advantages.
The XRP Ledger chain is indeed a highly scalable environment, processing transactions almost instantaneously in 3-5 seconds.
Furthermore, it is capable of handling up to 1,500 transactions per second (TPS), with negligible commission costs.
The design of Ripple is customized specifically to facilitate cross-border payments, allowing efficient transactions in different currencies and regions.
It is estimated that the final launch of EURCV on the new blockchain will be in 2025, pending the completion of the final technical integrations
Guillaume Chatain, Chief Revenue Officer di Societe Generale-FORGE, commented on the good news as follows:
“XRP Ledger is the ideal platform to integrate our existing implementations due to the combination of speed and cost efficiency. Our decision to launch this stealcoin on this blockchain was driven by our desire to offer next-generation compliant digital assets that promote transparency, security, and scalability.”
Ripple Custody (ex Metaco) as the provider appointed for the custody of the new stablecoin EURCV
As mentioned, the distribution of the stablecoin EURCV on Ripple’s XRP Ledger blockchain will be managed by the custodial provider Metaco.
The provider had already formed a partnership with SG FORCE of Société Générale in mid-2022 and is now ready to offer its infrastructural support.
The company will handle cryptographic issuance and secure the new currency within the XRP ecosystem.
In reality, Metaco (now renamed Ripple Custody) had been acquired by Ripple in May 2023 for 250 million dollars.
The Swiss custody company and the cryptocurrency payments company were already on good terms and have been collaborating on the blockchain front for several years.
The acquisition of the first by Ripple, which has become the sole shareholder, has allowed the pair to expand their business operations more rapidly.
On one hand, the project of Brad Garlinghouse has expanded its offering, providing its clients with Meaco’s technology to manage any tokenized asset.
On the other hand, Metaco itself has significantly accelerated its growth trajectory by leveraging Ripple’s broad customer base and its reputation in the crypto world.
At this point, with the entry of the stablecoin EURCV on the XRP Ledger, Ripple’s past investment takes on greater concreteness.
The company leverages the innovative approach of Metaco and seizes an expansion opportunity thanks to the previous collaboration with Société Générale.
Delving into the distribution of the new asset, RippleX SVP Markus Infanger stated that:
“More credible resources on the XRPL increase trading volume, benefiting users, developers, and applications that want to leverage the power of blockchain technology.”
The trend of the spread of MiCA Compliant assets
The launch of EURCV on Ripple with the participation of Metaco highlights the trend of increasing adoption of MiCa Compliant stablecoin in the blockchain world
Since Europe introduced the MiCA regulation, establishing new rules for issuers of crypto-assets, there has been a strong expansion of this phenomenon.
The clarity of the rules has created a favorable environment for fiat currency-backed stablecoins, leading to an increase in demand and investor confidence.
Various companies, noticing the transparent regulatory framework, have decided to put a foot in the sector by launching their own stablecoin.
Banks and fintech companies already felt threatened by the advent of large cryptographic stablecoins like Tether USDT, and have attempted to react over the years.
Among the most well-known, in addition to Société Générale which launched EURCV, we find Stasis which issued EURS, and Anchored with the coin AEUR.
Furthermore, recently the French entity Next Generation and the Irish DECTA Ltd have agreed to bring the stablecoin EURT to life on the Stellar network.
Today, EURT is the first compliant stablecoin in Europe, with a circulating supply of 500 million units.
In second place we find EURS with 124 million dollars, followed by EURCV (not present on The Block’s dashboard) with 40 million dollars.
Concluding the ranking of the top 5 are EUROC and agEUR with 37 and 20 million dollars, respectively.
We remind, however, that despite the growing demand, euro-pegged stablecoins represent less than 1% of the entire global stablecoin market.
The dominant fiat currency is still the US dollar.
