Dossiers
Banks and stablecoins dossier
Euro stablecoins are moving from fintech experiment to banking product. This dossier tracks issuers, reserve requirements and how quickly a token converts back into euros.
Timeline
- MiCA rules for e-money tokens take effect in the EU.
- First bank consortia announce a euro stablecoin.
- Supervisors focus on reserves, liquidity and same-day redemption.
Who may issue
Under MiCA a euro stablecoin may only be issued by a bank or an e-money institution. Reserves must be full and segregated from own funds.
That is why banks and payment institutions are becoming the main EU issuers.
- Full backing in liquid assets
- Right to redemption at par
- Segregated custody of reserves
What it means for you
The key question is not yield but how fast and at what cost you can redeem. Check the issuer, the reserve composition and published attestations.
A token that cannot be converted to euros on your bank account within a business day deserves extra scrutiny.
Frequently asked questions
Is a euro stablecoin covered by deposit insurance?
No. You hold a claim on the issuer and its reserves, not a guaranteed bank deposit.
Why do banks issue tokens themselves?
To speed up payments and settlement and to keep the customer relationship as payments move onto blockchains.