An Unprecedented Collaboration! 37 European Banks Team Up to Roll Out Euro Stablecoins, Competing for Leadership in On-Chain Finance

European Banking Union Qivalis Announces Addition of 25 Banks Joining Euro Stablecoin Program, Expanding Total Participating Institutions to 37, Expected to Launch Regulatory-Compliant Products in H2 2026.

European Banks Accelerate Stablecoin Deployment

European Banking Union Qivalis recently announced the addition of 25 banks to the euro stablecoin program, bringing the total number of participating institutions to 37 across 15 European countries. New members include Dutch banks ABN AMRO, Rabobank, Italy’s Intesa Sanpaolo, Nordic bank Nordea, Greek National Bank, and Irish AIB, among other major financial institutions.

Image source: Qivalis Qivalis recently announced that the number of institutions involved in the euro stablecoin plan has expanded to 37.

Qivalis states that the alliance aims to officially launch a euro stablecoin compliant with the EU’s MiCA regulations by the second half of 2026, and to establish on-chain financial and payment infrastructure led by European banks.

Qivalis Chairman Howard Davies said: “This infrastructure is crucial for Europe, enabling it to maintain strategic autonomy in the global digital economy competition.”

Currently, the global stablecoin market size has exceeded $318 billion, with over 99% market share dominated by dollar stablecoins, including Tether’s $USDT and Circle’s $USDC, which together account for over 80% of the market.

One of Qivalis’s core goals is to establish a regulated euro stablecoin system, reducing Europe’s dependence on the US dollar digital payment network and enhancing the euro’s position in on-chain financial markets.

Europe Seeks to Reclaim Leadership in On-Chain Finance

In recent years, tokenized finance has rapidly gained momentum, including tokenized bonds, stocks, funds, and collateral management, all beginning to enter the scope of large financial institutions. Stablecoins are gradually shifting from being merely crypto trading tools to essential infrastructure for on-chain clearing and asset circulation.

Qivalis CEO Jan-Oliver Sell said: “The euro is Europe’s currency, and on-chain financial infrastructure should be built by European institutions and governed by European rules.”

Qivalis has established its headquarters in Amsterdam, Netherlands, and has applied for an Electronic Money Institution (EMI) license from the Dutch central bank. Future stablecoins will be backed 1:1 by euros and high-liquidity assets, with custody handled by regulated entities.

In March this year, Qivalis also selected Fireblocks as its tokenization technology and custody partner to help build wallet infrastructure, compliance tools, and asset custody systems. Besides Qivalis, other European bank alliances are also promoting MiCA-compliant stablecoins. An alliance involving banks like UniCredit and ING plans to launch a euro stablecoin product in the second half of 2026.

Although the current market size still lags far behind dollar stablecoins, European financial institutions have begun to realize that if future payments, clearing, and asset trading gradually move on-chain, Europe will lack its own stablecoin infrastructure and remain dependent on the dollar system.

• Related news: 12 European banks form Qivalis alliance! Aim to launch euro stablecoin by 2026, challenging dollar market share

ECB Maintains Cautious Stance on Stablecoins

Despite active efforts by European banks to promote the euro stablecoin, the European Central Bank (ECB) remains cautious. ECB President Christine Lagarde publicly stated in early May that, “Stablecoins may not be the best way to strengthen the euro’s international position. Even a euro stablecoin could pose risks to financial stability and monetary policy.”

Image source: Bloomberg ECB President Christine Lagarde

However, the attitude within the European banking system differs markedly from that of the ECB. Most large banks are more focused on on-chain financial infrastructure and payment competitiveness, especially as dollar stablecoins continue to expand their market share. European financial institutions are increasingly concerned about digital dollar penetration into European payment systems.

According to Reuters, French Finance Minister Roland Lescure publicly stated in April that the euro stablecoin market is currently too small, “not satisfactory,” and supported further exploration of tokenized deposits and stablecoin applications by European banks.

Based on ECB data, the total size of non-dollar stablecoins is only about €770 million, with a market share of just 0.24%. In contrast, the US dollar stablecoin market benefits from the vast US Treasury bond market and liquidity advantages, making it difficult for non-dollar stablecoins to compete.

AIB’s Entry Symbolizes Shift in European Banking Attitudes

Ireland’s major bank AIB’s participation in Qivalis is seen as a significant signal of a changing attitude among traditional European financial institutions.

AIB Retail Banking Managing Director Geraldine Casey said: “We are investing in this alliance because we believe Europe needs trustworthy and regulated payment and clearing innovations.”

She pointed out that this initiative allows AIB to learn, test, and collaborate with other European banks, proactively building future digital financial capabilities.

Image source: Donegal Live AIB Retail Banking Managing Director Geraldine Casey

Qivalis CFO Floris Lugt said: “The long-term potential of blockchain technology has been difficult to realize, mainly because banks have not participated. That is now beginning to change.”

Currently, banks from Spain, France, Sweden, Italy, Finland, and Greece are accelerating their involvement in euro stablecoin and tokenized finance plans. Spain, in particular, has become the country with the most new bank additions, including Banco Sabadell, Bankinter, and ABANCA.

As global financial markets increasingly move toward on-chain development, European banks are shifting from observation to active deployment, aiming to retain influence over the euro and European financial infrastructure in the next-generation digital finance landscape.