French Finance Minister Roland Lescure said on Friday that Europe needs more euro-based stablecoins and encouraged EU banks to explore tokenized deposits. Speaking in pre-recorded remarks at a cryptocurrency conference in Paris, Lescure called the relatively small issuance of euro stablecoins "unacceptable" compared to dollar-pegged stablecoins.
Major banks around the world are actively experimenting with stablecoins. A stablecoin is a cryptocurrency that aims to maintain a constant value and is backed by traditional currencies. Several banks have teamed up to test the technology, especially after U.S. President Trump signed legislation last year establishing regulatory rules for stablecoins.
A group of 10 European banks including ING, UniCredit and BNP Paribas formed a company last year to launch a euro-pegged stablecoin in the second half of 2026, a move aimed at countering U.S. dominance in digital payments.
“It’s exactly what we need and what we expect,” Lescuer said of the plan on Friday. “I would also strongly encourage banks to further explore the launch of tokenized deposits,” he added.
Tether, the world's largest stablecoin, said its U.S. dollar-pegged token circulation has exceeded $185 billion; while the euro stablecoin launched by Societe Generale in 2023 currently has only 107 million euros in circulation.