A consortium of major European banks has teamed up to create a euro-pegged stablecoin under the EU’s Markets in Crypto-Assets (MiCA) framework.
Dutch bank ING and Italy’s UniCredit are among nine institutions participating in the project, according to a joint statement released by ING on Thursday.
Designed to comply with MiCA regulations, the stablecoin is expected to launch in the second half of 2026. The initiative aims to establish a trusted European payment standard within the digital ecosystem.
The project supports Europe’s goal of providing a regional alternative to the US-dominated stablecoin market and strengthening the EU’s strategic autonomy in payments.
Banks from eight EU member states join the effort
In addition to ING and UniCredit, the initiative includes Spain’s CaixaBank, Denmark’s Danske Bank, Austria’s Raiffeisen Bank International, Belgium’s KBC, Sweden’s SEB, Germany’s DekaBank, and another Italian bank, Banca Sella.
The founding members have also created a new company based in the Netherlands, ING’s home country, to oversee the stablecoin’s development and management.
The banking consortium stated in their joint announcement that it remains open to additional banks joining the euro stablecoin project.
24/7 cross-border payment access
ING’s statement highlighted that the planned euro stablecoin will enable “near-instant, low-cost payments and settlements,” offering round-the-clock access to cross-border transactions.
The stablecoin is also expected to support programmable payments and enhance supply chain management and digital asset settlements, covering everything from securities to cryptocurrencies.
“Digital payments are essential for new euro-denominated payment systems and financial market infrastructure,” said Floris Lugt, ING’s digital asset lead and the project’s joint public representative. “We believe this development requires an industry-wide approach, and it’s crucial for banks to adopt common standards.”
Digital euro delayed to 2029
The announcement comes shortly after European Central Bank Executive Board member Piero Cipollone projected that the EU’s digital euro may not be introduced until 2029.
Cipollone, who also serves as deputy governor of the Bank of Italy, noted that the European Parliament is expected to provide a general framework for the proposed central bank digital currency (CBDC) by May 2026.
Given the long-running development of Europe’s potential central bank digital currency (CBDC), which has been under discussion since 2020, some online commentators have referred to the new stablecoin initiative as a “digital euro’s obituary.”
Others have suggested that the forthcoming stablecoin could act as a “backdoor CBDC,” although by definition, a CBDC must be issued directly by a central bank.
The preference for stablecoins over CBDCs is not without precedent. In early 2025, the Trump administration made a landmark decision to halt CBDC development in the United States, while simultaneously endorsing US dollar-backed stablecoins as a central element of its financial strategy.
