Europe Tightens Crypto Rules as Societe Generale Launches Stablecoin
Societe Generale launches EURCV stablecoin on Solana as Germany shuts down 47 crypto exchanges, highlighting Europe's balance between innovation and regulation.
This week saw significant shifts in Europe’s crypto landscape, including Societe Generale’s EURCV stablecoin launch on Solana and Germany shutting down 47 crypto exchanges. These moves illustrate how Europe is navigating the path between innovation and regulatory enforcement in the expanding blockchain space.
On September 20, 2024, Societe Generale-FORGE introduced its EUR CoinVertible (EURCV) stablecoin on the Solana blockchain. The aim is to promote wider adoption of decentralized applications, targeting both institutional and retail users.
Solana’s capacity to handle tens of thousands of transactions per second, along with its low fees and rapid finality, makes it an ideal platform for the stablecoin. Jean-Marc Stenger, CEO of SG-FORGE, said this pairing will create new opportunities in DeFi for all types of users.
In a bold regulatory move, Germany shut down 47 crypto exchanges on September 19, 2024, due to money laundering violations. The Federal Criminal Police Office (BKA) and the Central Office for Combating Internet Crime (ZIT) took action against platforms that bypassed Know-Your-Customer (KYC) rules, facilitating anonymous transactions. These exchanges were used for laundering illicit funds, highlighting ongoing concerns over cryptocurrency’s role in cybercrime.
Meanwhile, Switzerland’s SIX Group is exploring the possibility of creating a European crypto trading platform. Known for its AsiaNext crypto derivatives platform in Singapore, SIX is now considering an expansion to Europe, focusing on institutional clients.
Bjørn Sibbern, the global head of exchanges, explained that this interest reflects growing demand among banks and institutional investors to enter the crypto space. Switzerland’s pro-crypto regulations make it an appealing hub for such developments.
Commerzbank has also entered the crypto market, offering corporate clients secure access to Bitcoin and Ethereum. In partnership with Crypto Finance, a subsidiary of Deutsche Börse, the bank will provide compliant trading and custody services. This move follows Commerzbank’s approval for a crypto custody license in 2023, addressing increasing demand for regulated digital asset solutions among institutional investors.
In a further boost to the European crypto scene, Monerium has launched the first euro-backed stablecoin, EURe, on the Noble blockchain, part of the Cosmos ecosystem. The stablecoin, compliant with MiCA regulations, allows users to make instant euro transfers between blockchain wallets and traditional bank accounts via SEPA. This integration represents a significant step for Cosmos, providing a secure and efficient way to handle euro transactions across multiple blockchains.
These developments show how Europe’s crypto ecosystem is evolving, blending technological advancements with stricter regulatory measures to shape the future of blockchain across the continent.
