French Finance Minister Urges Expansion of Euro Stablecoins..."How Long Will We Allow Dollar Monopoly?"

▲ Euro, Stablecoin/AI Generated Image

France has officially embarked on fostering euro-based stablecoins to break the US dollar-centric virtual asset market structure.

According to Reuters on April 17 (local time), French Finance Minister Roland Lescure attended a cryptocurrency conference in Paris and strongly urged the expansion of euro stablecoins. Minister Lescure expressed concern about the current situation where dollar-based stablecoins dominate the market. He pointed out that "the scale of euro stablecoins is overwhelmingly small compared to dollar stablecoins," making it clear that the current situation is unsatisfactory.

Minister Lescure emphasized that the growth of euro-denominated digital assets is essential to secure the independence of the European financial system. An analysis suggests that about 98% of the current stablecoin market is pegged to the dollar, hindering the digital transformation of the European economy. He explained that if euro stablecoins are activated, European companies and consumers can have safer and more efficient digital payment methods.

He also delivered harsh criticism regarding the passive attitude of European banks. Minister Lescure encouraged banks to more actively review and introduce Deposit Token products. Deposit Tokens are assets that tokenize bank deposits on the blockchain and are key tools that can attract institutional funds based on higher trustworthiness than stablecoins. He urged private banks to accelerate the adoption of technology for financial innovation.

These remarks are expected to have a significant impact, coinciding with the full implementation of the European Union's virtual asset regulation, MiCA. France positions itself as a hub for the virtual asset industry in Europe, simultaneously refining regulations and fostering industry growth. Minister Lescure's initiative reflects the French government's intention to expand the digital influence of the euro. Finance ministers from various European countries also plan to continue discussions on regulatory easing to encourage the issuance of euro stablecoins.

The growth of the euro stablecoin market is a strategic choice to protect Europe's monetary sovereignty and avoid falling behind in the struggle for digital economic hegemony. The French government plans to strengthen cooperation with the private sector to quickly establish a euro-based digital asset ecosystem. This will lead to increased interoperability with major virtual assets such as Bitcoin (BTC) and XRP, and enhanced efficiency in the European financial market.

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