New Euro-Pegged Stablecoin Launches, Aligning with MiCA Regulations, Thanks to Former Binance Leaders
As Europe gears up to implement the Markets in Crypto-Assets Regulation (MiCA) later this year, a fresh player has entered the cryptocurrency arena: EURØP, a stablecoin backed by euros.
This innovative initiative is spearheaded by Schuman Financial, a company founded by former Binance executives Martin Bruncko and Eduardo Morrison.
Seed Funding and Launch Details
After successfully securing 7 million euros (around $7.36 million) in seed funding in September, led by Web3 venture capital firm RockawayX, Schuman Financial has officially unveiled its operations, as reported by Cointelegraph on November 26.
EURØP is designed to maintain a 1:1 value with the euro and is positioned to serve a global audience.
The stablecoin has multiple applications in mind, including facilitating digital transactions, providing on-chain foreign exchange trading, and enabling the tokenization of physical assets.
A spokesperson for Schuman Financial shared that EURØP will be fully backed by cash and cash equivalents.
The stablecoin is expected to launch soon, though a specific date has yet to be disclosed.
Initially, users will find EURØP available on the Ethereum and Polygon networks, with plans for listings on all major centralized exchanges across Europe.
Additionally, the company is exploring integration opportunities with various blockchains and decentralized finance platforms in the months ahead.
Compliance with MiCA Regulations
While Schuman Financial aims for widespread adoption, it will restrict access in high-risk jurisdictions.
Specifically, countries like Iran, North Korea, Venezuela, and Russia will be excluded.
The company has designated a list of 107 high-risk nations, including significant stablecoin markets such as Turkey, which recorded a notable increase in stablecoin purchases relative to its GDP in April.
Other countries on the list include El Salvador, South Africa, and the United Arab Emirates.
To ensure compliance with MiCA regulations, Schuman Financial operates through its subsidiary, Salvus SAS, which has received an electronic money institution license from the French Prudential Supervision and Resolution Authority.
This approval allows Schuman Financial to issue e-money tokens linked to any eligible currency within the European market.
With this regulatory foundation, the company is actively working to create a compliant stablecoin ecosystem that integrates with the Single Euro Payments Area (SEPA) and forges banking partnerships with notable global institutions, such as Société Générale.
Significance of EURØP’s Launch
The launch of EURØP marks a significant step in the evolving landscape of cryptocurrencies, underscoring the importance of compliance and innovation as the sector matures.
Source: Cointelegraph.com
