Traditional banks are venturing into the stablecoin market as Tether discontinues its euro-pegged EURt token.
Institutions like Société Générale, Standard Chartered, and Revolut aim to capitalize on this gap and the growing demand for blockchain-based financial solutions.
Tether’s EURt, launched in 2016, struggled to gain traction and was phased out in compliance with Europe’s MiCA regulations. This regulatory clarity has paved the way for banks to issue their own euro-backed stablecoins, with Société Générale-Forge leading the charge and others preparing similar offerings.
Globally, Visa is enabling stablecoin issuance, while Standard Chartered and JPMorgan Chase explore blockchain alternatives. However, liquidity risks, regulatory uncertainty, and competition from CBDCs pose challenges. Despite these hurdles, the profitability of stablecoins continues to attract banks eager to innovate in the digital finance space.
With banks increasingly entering the stablecoin sector, the competition could reshape how digital currencies are integrated into mainstream finance. As new players emerge and partnerships form, the stablecoin market is poised to expand further, offering consumers a blend of traditional banking reliability and the efficiency of blockchain technology.
Visa reported over $200 million in stablecoin settlements during Q2 2025, a milestone in its growing commitment to digital asset infrastructure.
Coinbase has announced a major partnership with JPMorgan Chase, the largest U.S. bank, aimed at expanding access to cryptocurrencies for over 80 million Chase customers.
The Bank of Korea (BOK) has taken a significant step toward deepening its involvement in the digital asset ecosystem by establishing a dedicated virtual asset division, according to a report from local media outlet News1.
A new report from JPMorgan is shedding light on the staggering upside potential of Coinbase’s partnership with Circle and its deep exposure to the USDC stablecoin.