Nine major European banks have officially joined forces to launch a euro-backed stablecoin, operating under the Markets in Crypto Assets (MiCA) regulation set by the European Union.

As reported by CoinDesk on Thursday, September 25, 2025, the stablecoin will use blockchain technology to provide a reliable digital payment instrument and is seen as a potential new standard for payments in Europe.

The participating banks are ING, Banca Sella, KBC, Danske Bank, DekaBank, UniCredit, SEB, CaixaBank, and Raiffeisen Bank International.

Initiative Aims to Challenge Dollar-Dominated Stablecoins

The initiative is described as a strategic move to strengthen Europe’s independence in digital finance and provide a real alternative amid the dominance of US dollar-based stablecoins.

The stablecoin is designed to support cross-border transactions with low costs and near-instant speed. It will be available 24/7 and will include features such as programmable payments, supply chain efficiency, and more transparent digital asset settlements.

New Dutch Entity to Oversee Licensing and Issuance

The banking consortium has established a new company in the Netherlands that will apply for a license as an electronic money institution. This process will take place under the supervision of the Dutch central bank.

The stablecoin is scheduled to begin issuance in the second half of 2026. The initiative also allows for the participation of other banks that may wish to join in the future.

Each member bank will have the opportunity to offer additional services, including stablecoin wallets and asset custody solutions.

Unified Industry Standards Key to Implementation

“Digital payments are key to the euro ecosystem in this new era of financial infrastructure. Blockchain enables efficiency, transparency, and instant multi-currency settlement,” said Floris Lugt, Head of Digital Assets at ING and public representative of the consortium.

“We believe this initiative requires a broad industry approach, with uniform standards across banks,” he added.

PHOTO: FREEPIK

This article was created with AI assistance.