As of February 20, 2026, BNP Paribas has launched a new blockchain pilot that brings a traditional money market fund onto the public Ethereum network.
The initiative marks one of the most concrete steps yet by a major European bank to integrate regulated financial products directly with public blockchain infrastructure.
The project, led by BNP Paribas Asset Management, introduces a tokenized share class of an existing French-domiciled money market fund. Rather than using a closed or private ledger, the bank chose Ethereum – but with strict compliance controls built into the system.
Although the tokens are issued on Ethereum, the model operates under a permissioned access framework. Only verified and eligible participants can hold or transfer the tokenized shares, ensuring alignment with existing regulatory standards.
To enforce these restrictions, the bank implemented the ERC-3643 token standard, designed specifically for regulated financial assets. The pilot tested a full end-to-end workflow – from issuance and transfer agency functions to connectivity with the public chain – involving BNP Paribas’ Asset Management, Corporate & Institutional Banking, and Securities Services divisions.
This follows earlier blockchain experiments by the group, including a tokenized money market fund on a private Luxembourg blockchain in 2025 and a renewable energy project finance bond issued directly on Ethereum in 2022.
In parallel, BNP Paribas is helping lead Qivalis, a euro-backed stablecoin initiative structured as a consortium of 12 major European banks. Members include ING, UniCredit, BBVA, CaixaBank, DZ BANK, and DekaBank.
The stablecoin, pegged 1:1 to the euro, is backed by segregated reserves including central bank deposits and short-term government paper. It is designed to comply fully with the EU’s Markets in Crypto-Assets (MiCA) regulation and is currently seeking an Electronic Money Institution license from the Dutch Central Bank.
A commercial launch is targeted for the second half of 2026.
Qivalis is positioned as an institutional payment rail rather than a speculative crypto asset. Its primary use cases include programmable payments through smart contracts, atomic Delivery versus Payment settlement for tokenized securities, and real-time liquidity management for multinational corporations.
The project is expected to launch across multiple networks, beginning with Ethereum and expanding to Polygon and Base.
Leadership of the venture includes CEO Jan-Oliver Sell, formerly of Coinbase Germany, and Chairman Sir Howard Davies, previously Chair of NatWest.
Together, the Ethereum fund tokenization pilot and the Qivalis stablecoin initiative signal a broader strategic shift. Rather than competing with blockchain infrastructure, major European banks are increasingly building directly on top of it.
By combining regulated access models with public-chain efficiency, BNP Paribas appears to be testing a hybrid model – one that preserves compliance while embracing open blockchain settlement layers.
