- The new Euro-pegged stablecoin would be based on the Ethereum blockchain.
- Only qualified institutional investors will be able to purchase the token.
EUR CoinVertible, a euro-pegged stablecoin, has been released by Societe Generale-Forge (SG-Forge). It is a regulated subsidiary of the French banking corporation Societe Generale. The stablecoins are for use by eligible institutional customers.
On April 20, SG-Forge announced the launch of a new stablecoin that would be based on the Ethereum blockchain. And would be traded with the symbol EURCV on exchanges. Also, investors will only be able to get their hands on the new digital asset if they pass Societe Generale’s Know Your Customer and Anti-Money Laundering processes.
Only Qualified Institutional Investors
According to SG-Forge CEO Jean-Marc Stenger’s, the company will evaluate customer interest. And answer concerns about gradual adoption in the next weeks. Only qualified institutional investors will be able to purchase the token on approved market platforms.
Moreover, the goal of the EURCV stablecoin is to unite the worlds of conventional finance and digital assets. SG-Forge saw a need for a new settlement asset for on-chain transactions. So they created the digital asset and released it to the public.
Stablecoin, according to the company, also has the added advantage of enabling new solutions for corporate treasury, cash management, cash pooling operations, on-chain liquidity funding, and refinancing.
According to SG-Forge, the open-source interoperability and securitization framework Compliant Architecture for Security Token (CAST) is among the primary industry requirements met by the EUR CoinVertible stablecoin.
The company has emphasized that it would give daily transparency reports and collateral positions, as well as ensuring “complete segregation” of the collateral assets underpinning the value of the stablecoins from the issuer.
Moreover, according to Stenger, PwC, a professional services firm, has audited the EUR CoinVertible smart contract. The stablecoin has also been designed to comply with the Markets in Crypto-Assets (MiCA) framework, which will regulate the crypto sector in Europe.
