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.
BlackRock is ramping up its engagement with U.S. regulators, meeting with the SEC’s Crypto Task Force on May 9 to present its growing suite of digital asset products and to push forward conversations around the evolving regulatory landscape.
Defiance ETFs has proposed four innovative exchange-traded funds (ETFs) that focus on leveraged strategies targeting the price movements of Bitcoin, Ethereum, and gold.
Rootstock, a platform bridging smart contracts with Bitcoin, saw a significant increase in mining activity and network security during early 2025, despite a slowdown in overall usage.
Stripe, the global payments leader, has taken a major step into the world of stablecoins with the introduction of its new feature, Stablecoin Financial Accounts.