Europe’s First MiCA-Compliant USD Stablecoin Launches as U.S. Regulators Hesitate

Société Générale’s digital asset subsidiary, SG-FORGE, has launched the USD CoinVertible (USDCV), a U.S. dollar-pegged stablecoin compliant with the European Union’s Markets in Crypto-Assets (MiCA) regulation. This marks the first listing of a MiCA-licensed U.S. dollar stablecoin in the EU, facilitated through Bullish Europe, a BaFin-regulated platform . The stablecoin joins SG-FORGE’s EUR CoinVertible (EURCV), introduced in 2023, as part of the bank’s strategy to bridge traditional finance and digital asset ecosystems . Both tokens are classified as e-money tokens (EMTs) under MiCA and are backed by high-quality, liquid reserves, with daily transparency reports published on SG-FORGE’s website .

The partnership with Bullish Europe, which secured a MiCA license in Germany, enables institutional, corporate, and retail investors to access USDCV for a range of applications, including cross-border payments, on-chain settlements, and collateral management . Jean-Marc Stenger, CEO of SG-FORGE, emphasized that the launch follows exponential market adoption of stablecoins, with the U.S. dollar dominating the sector. “This new currency will enable our clients to leverage the benefits of an institutional-grade stablecoin,” he stated . Bullish Europe’s CEO, Marco Bodewein, highlighted the strategic importance of expanding regulated stablecoin offerings, noting the milestone in integrating traditional and digital financial systems .

USDCV operates on both Ethereum and Solana blockchains, a dual-chain approach aimed at enhancing scalability and interoperability. The stablecoin’s reserves are safeguarded by the Bank of New York Mellon (BNY), a global custodian, ensuring institutional-grade security and compliance with MiCA’s reserve requirements . SG-FORGE, licensed as an Electronic Money Institution (EMI) by the French Autorité de Contrôle Prudentiel et de Résolution (ACPR), maintains full transparency by disclosing reserve composition and valuation daily . This aligns with MiCA’s mandate for robust redemption mechanisms and operational standards .

The launch underscores Europe’s leadership in stablecoin regulation, contrasting with the U.S. market, where regulatory clarity under the GENIUS Act remains pending. U.S. investors are currently excluded from USDCV due to jurisdictional constraints, with SG-FORGE awaiting U.S. regulatory developments to expand access . Meanwhile, the EURCV, which processes €40 million daily, has already demonstrated the potential of MiCA-compliant stablecoins in institutional markets . The stablecoin’s success in Europe positions SG-FORGE to capitalize on growing demand for regulated digital assets, with plans to onboard additional platforms for minting and burning rights .

Regulatory scrutiny of stablecoins persists, with European officials like ECB President Christine Lagarde cautioning against risks posed by non-EU-issued tokens. However, MiCA’s framework is designed to mitigate systemic risks by enforcing reserve transparency and interoperability . The EU’s approach, which treats non-EU stablecoins as equivalent to MiCA-licensed tokens under new guidance, aims to simplify cross-border use while maintaining financial stability . SG-FORGE’s compliance with these standards positions USDCV as a benchmark for institutional adoption, reinforcing Europe’s role in shaping the future of digital finance .

[1] USDCV Stablecoin Debuts in Europe With Bullish Listing (https://cointelegraph.com/news/bullish-europe-lists-societe-generale-usdcv-stablecoin)

[2] Societe Generale-FORGE Partners with Bullish Europe to List MiCA (https://finance.yahoo.com/news/societe-generale-forge-partners-bullish-130750306.html)

[3] Bullish Stablecoin Debuts in Europe as U.S. Waits on Rules (https://cryptotale.org/bullish-stablecoin-debuts-in-europe-as-u-s-waits-on-rules/)

[5] MiCA and Stablecoins: Regulations and Examples in the EU (https://thebanks.eu/articles/stablecoins-and-mica-regulations-and-examples-in-the-eu)

[6] EU to Treat Non-EU Stablecoins as Equivalent to EU-Licensed (https://thecoinomist.com/insights/eu-treats-foreign-stablecoins-interchangeable/)

[10] SOCIETE GENERALE-FORGE TO LAUNCH A USD DENOMINATED (https://www.sgforge.com/usd-stablecoin-bny-custodian/)

[12] SocGen FORGE launches US dollar stablecoin with BNY (https://www.ledgerinsights.com/socgen-forge-launches-us-dollar-stablecoin-with-bny-custody/)