Announcement of New Partnership 🌟
This year marks an exciting development with the collaboration between Société Générale and Bitpanda, focusing on the stablecoin EURCV. This partnership aims to enhance the digital asset landscape in Europe.
Details regarding this collaboration emerged on the official platform of Société Générale-FORGE, the company’s fintech arm that took the lead in this initiative alongside Bitpanda.
Overview of Bitpanda 💹
Bitpanda stands out as one of Europe’s prominent cryptocurrency exchanges, having been established in Vienna back in 2014. The platform provides a diverse range of over 2,800 digital assets, which encompasses more than 450 cryptocurrencies, alongside stocks, ETFs, precious metals, and commodities.
Recognized as one of the few European fintech unicorns, Bitpanda boasts a valuation surpassing one billion euros and holds a user base exceeding five million individuals.
With a network of numerous institutional partners and licenses across different countries, Bitpanda has developed a solid reputation for compliance and cooperation with local regulatory bodies. This commitment to regulation is part of what makes it a preferred choice for collaboration with Société Générale.
Société Générale Overview 🏦
Société Générale ranks as the fourth largest bank in France and is also a significant player in the Eurozone, being fourth by market capitalization among banking groups. It is regarded as a crucial element in the banking system by the Financial Stability Board.
Founded as early as 1864, the bank generates annual revenue exceeding 28 billion euros and employs approximately 117,000 individuals. It trades on Euronext with the ticker GLE, boasting a market capitalization around 20 billion euros. Notably, it operates as a public entity without a dominant shareholder; BlackRock holds the largest share at just over 7.6%.
Société Générale-FORGE (SG-FORGE) serves as its integrated subsidiary, which is fully regulated and authorized as an investment company, providing MiFID services under the scrutiny of the Autorité de Contrôle Prudentiel et de Résolution (ACPR) and the Autorité des marchés financiers (AMF).
In addition, SG-FORGE is recognized as an electronic money institution by the ACPR and as a digital asset service provider (DASP) by the AMF. Furthermore, it has established a specialized platform for digital assets that meets all European regulatory standards.
Details of the Bitpanda and Societe Generale Collaboration on EURCV 💡
The alliance between SG-FORGE and Bitpanda concentrates on the stablecoin named EUR CoinVertible (EURCV). This stablecoin is pegged to the euro and aligns with the newly established European crypto regulation, MiCA, ensuring full collateralization in EUR. Presently, over 33 million EURCV tokens circulate on the Ethereum blockchain.
As part of this partnership, EURCV is set to become available on Bitpanda’s exchange in the upcoming weeks. Additionally, SG-FORGE will maintain a long-term partnership with Bitpanda, aimed at enhancing the adoption of digital assets.
The objective of this collaboration seeks to harness Bitpanda’s expansive user base to deliver a stable, secure, and accessible digital currency for European investors. Through their joint efforts, the companies hope to expand the use cases for EURCV across Europe, including cross-border payments, remittances, and everyday transactions.
Current Landscape of the Stablecoin Market 🌍
Stablecoins backed by the dollar, like USDT and USDC, dominate the global market. However, European markets still exhibit a notable gap with respect to a major euro-collateralized stablecoin.
At present, the largest euro-backed stablecoin is EURS (Stasis Euro), with a market capitalization of just 138 million dollars—highlighting a stark difference compared to USDT. EURCV, with its 33 million tokens, has now emerged as the third largest stablecoin in the euro category worldwide, even surpassing Tether’s EURT.
Following EURCV in market size is EURC from Circle, the issuer behind USDC. This shows the potential for growth in the European stablecoin sector.
Insights on the Bitpanda and Societe Generale Partnership 🤝
The new partnership drew remarks from Jean-Marc Stenger, CEO of Société Générale-FORGE, who stated: “This partnership is a crucial step towards achieving our vision of making stablecoins a fundamental component of the global financial system. Together with Bitpanda, we are confident in our ability to offer European users a stable, secure, and accessible digital currency.”
Lukas Enzersdorfer-Konrad, the Vice CEO of Bitpanda, added, “EUR-based stablecoins will play a vital role in the future of digital assets in Europe. The landscape is evolving, integrating more with traditional finance, and regulated stablecoins will serve as a bridge to facilitate this future. We are excited to work alongside Société Générale-FORGE in this endeavor.”
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