Euro Banks Launch Qivalis, Push Blockchain-Fueled Stablecoin by 2026

A consortium of 10 major European banks, including BNP Paribas, ING, and UniCredit, is pushing forward with plans to launch a euro-pegged stablecoin by the second half of 2026. The banks have formed an Amsterdam-based entity named Qivalis to develop and issue the digital currency, which will be fully compliant with the EU's Markets in Crypto-Assets (MiCA) regulations according to reports. The initiative aims to provide a digital alternative to U.S.-backed stablecoins and foster a more autonomous European digital payments ecosystem as research shows.

Qivalis is currently seeking an Electronic Money Institution (EMI) license from the Dutch Central Bank, a process expected to take between six to nine months. If approved, the stablecoin could become a significant player in cross-border transactions and digital asset markets, competing with tokens like Tether's USDT and Circle's USDC. The group has emphasized that the new stablecoin will be blockchain-native and designed to meet the regulatory and operational needs of European businesses and consumers.

The project is being led by Jan-Oliver Sell, a former executive at Coinbase Germany, who highlighted the importance of digital monetary autonomy. "A native euro stablecoin isn't just about convenience - it's about monetary autonomy in the digital age," Sell said according to reports. Qivalis's governance structure is still under development, and the entity is working closely with regulators to ensure full alignment with MiCA and other relevant financial rules.

The development of Qivalis's stablecoin comes amid a growing global push to regulate stablecoins more effectively. In the United States, the recently passed GENIUS Act is creating a legal framework for stablecoins, signaling a shift toward broader institutional acceptance and oversight. Meanwhile, European regulators, including the Dutch Central Bank and the European Central Bank (ECB), are closely monitoring the expansion of the stablecoin market. ECB Governor Olaf Sleijpen has previously warned that the growing popularity of stablecoins could pose risks to monetary policy.

According to ECB adviser Jürgen Schaafhe, euro-denominated stablecoins currently have a market capitalization of less than €350 million, representing less than 1% of the global stablecoin market as of July 2025. This highlights the relatively modest size of the euro-based stablecoin sector compared to its U.S. counterparts. However, with the backing of major European banks and regulatory clarity under MiCA, the Qivalis project could catalyze a broader shift toward euro-based digital currencies.

Despite the optimism surrounding Qivalis, the project faces several challenges. One major hurdle is gaining widespread adoption from both institutional and retail users. Currently, U.S. dollar-pegged stablecoins dominate the market, with Tether's USDT alone holding a market capitalization of over $185 billion. The euro stablecoin will need to differentiate itself not only by offering regulatory compliance but also by demonstrating tangible advantages in terms of cost, speed, and integration with existing European financial systems.

The departure of Tether from the EU stablecoin market has also created a vacuum. Tether ended support for its EURt stablecoin in November 2025, citing concerns over MiCA regulations. This move leaves room for new entrants like Qivalis to fill the gap, but it also underscores the regulatory complexities associated with operating stablecoins in the region.

Qivalis will need to navigate a competitive landscape where other financial institutions are also exploring stablecoin projects. For example, Sony Bank recently announced plans to launch a dollar-pegged stablecoin for use in its ecosystem by fiscal 2026. While Qivalis is focused on the euro, it will still face indirect competition from global stablecoin providers and other regional players.

Implications for the Future of Digital Payments

If successful, the Qivalis stablecoin could serve as a blueprint for future digital currency initiatives in the EU and beyond. The project's emphasis on compliance, transparency, and monetary autonomy aligns with the broader goals of modernizing the region's financial infrastructure. It also reflects a growing trend among traditional financial institutions to embrace blockchain technology as a means of enhancing efficiency and expanding access to digital services.

For European businesses, the introduction of a euro-pegged stablecoin could reduce transaction costs, increase the speed of cross-border payments, and provide greater flexibility in managing digital assets. For consumers, it could mean more accessible and secure options for digital payments and asset management without relying on U.S. dollar-based tokens.

Investors and market observers are watching closely to see how regulatory and market dynamics evolve. The success of Qivalis's stablecoin will depend not only on its technical and regulatory foundations but also on its ability to gain traction in a rapidly changing financial landscape.