European bank consortium to issue MiCA-compliant euro stablecoin
Nine major European banks announced plans to jointly issue a euro-backed digital token compliant with the EU's Markets in Crypto-Assets regulation, targeting launch in the second half of 2026.
The consortium includes ING, Banca Sella, KBC, Danske Bank, DekaBank, UniCredit, SEB, CaixaBank and Raiffeisen Bank International. The banks incorporated a new entity in the Netherlands to oversee the project, with plans to operate under a license from the Dutch Central Bank as an e-money institution.
The digital euro token will be designed for use across payments, settlements, and other regulated financial services. The initiative aligns with MiCA standards to provide a regulated alternative to privately issued tokens within the eurozone framework.
The project will undergo regulatory review in 2025 before going live the following year. The Dutch Central Bank will provide oversight focused on investor protection and financial stability requirements.
The digital euro token will be designed for use across payments, settlements, and other regulated financial services. The initiative aligns with MiCA standards to provide a regulated alternative to privately issued tokens within the eurozone framework.
The project will undergo regulatory review in 2025 before going live the following year. The Dutch Central Bank will provide oversight focused on investor protection and financial stability requirements.
The banks selected the Netherlands as the base of operations for the new entity that will manage token issuance and compliance. The entity must obtain e-money institution status before launching the product to European customers.
Earlier this year, reports outlined that ING had been exploring such projects with other lenders. The discussions have now materialized into this broader alliance spanning multiple European countries and banking systems.
The consortium represents banks from the Netherlands, Italy, Belgium, Denmark, Germany, Austria, Sweden, Spain, and Romania. Each institution will contribute resources and expertise to the joint venture.
MiCA regulation provides the legal framework for digital tokens in the European Union, establishing requirements for reserve backing, transparency, and consumer protection. The regulation took effect in 2024 and covers issuance, trading, and custody of crypto assets.
The banks have not disclosed specific technical details about the token's blockchain infrastructure or which networks will support the digital euro. Implementation details will likely emerge during the regulatory review process in 2025.
The timeline calls for completing regulatory applications and approvals throughout 2025, with first issuance planned for the latter half of 2026. The banks indicated they expect strong demand from European businesses and institutions for a regulated euro-denominated digital token.
The consortium will compete with existing euro-pegged tokens in the market, including products from private companies and other financial institutions operating under MiCA compliance.
Earlier this year, reports outlined that ING had been exploring such projects with other lenders. The discussions have now materialized into this broader alliance spanning multiple European countries and banking systems.
The consortium represents banks from the Netherlands, Italy, Belgium, Denmark, Germany, Austria, Sweden, Spain, and Romania. Each institution will contribute resources and expertise to the joint venture.
MiCA regulation provides the legal framework for digital tokens in the European Union, establishing requirements for reserve backing, transparency, and consumer protection. The regulation took effect in 2024 and covers issuance, trading, and custody of crypto assets.
The banks have not disclosed specific technical details about the token's blockchain infrastructure or which networks will support the digital euro. Implementation details will likely emerge during the regulatory review process in 2025.
The timeline calls for completing regulatory applications and approvals throughout 2025, with first issuance planned for the latter half of 2026. The banks indicated they expect strong demand from European businesses and institutions for a regulated euro-denominated digital token.
The consortium will compete with existing euro-pegged tokens in the market, including products from private companies and other financial institutions operating under MiCA compliance.
Author
Sebile Fane cut her teeth in blockchain by building tiny NFT experiments with friends in her living room, long before the buzzwords took hold. She’s driven by a curiosity for the human stories behind smart contracts — whether it’s a small-town artist minting her first token or a DAO voting on climate grants — and weaves technical insight with genuine empathy.
Recommended