Banking Circle S.A., a technology-driven payment Bank with a Luxembourg banking license, does not directly serve retail customers. Instead, it provides agency banking and global payment services to companies, including fintech companies like Stripe and Airwallex. Last month, in line with the European Commission's Regulation on Markets in Crypto-Assets (MiCA), it launched its bank-backed stablecoin - EURI. This is the first stablecoin issued by a bank and compliant with MiCA regulations in the EU. EURI was first launched on the Binance exchange, and will subsequently be listed on platforms like CoinUT Switzerland AG, with plans to expand to more exchanges. The minting and burning of EURI is done through Fireblocks' tokenization engine, using Multi-Party Computation (MPC-CMP) technology to ensure security. This not only brings new competitive vigor to the EU stablecoin market, but also helps to narrow the gap with US dollar stablecoins.
Daniel Lee, Head of Web 3 at Banking Circle, pointed out that by combining advanced digital asset technology and the latest European regulatory requirements, Banking Circle can provide stablecoin users with solid banking services and infrastructure to meet their demand for 24/7 instant payments. The launch of EURI is not only an important cornerstone for the company's development, but also provides more market choices and flexibility for the future issuance of other stablecoins and tokenized currencies.
Adaptability under the MiCA Regulation
The main objective of MiCA is to promote technological innovation and protect the rights of EU users through a regulatory framework covering Crypto-assets, issuers and service providers. As an EU regulation, MiCA applies to all 27 member states, ensuring a harmonized regulatory environment. As financial institutions introduce stablecoins that meet MiCA standards, the key is to rely on enterprise-level technology and robust infrastructure to ensure a secure, convenient and seamless experience for users.
Core Advantages of EURI
According to Aiying艾盈, Banking Circle has done a lot of work on security. The fiat currency funds of all EURI holders will be segregated from other bank funds, stored in cash or equivalents, and protected through a bankruptcy isolation structure. EURI will operate on the Ethereum and BNB Smart Chain, and will undergo continuous transaction monitoring and risk assessment to prevent fraud and other risks.
Secondly, EURI fully complies with MiCA regulations and will be audited by top-tier audit firms to ensure that all circulating EURI are strictly equivalent to the fiat currency funds of the holders.
Furthermore, EURI performs excellently in fund transfers. Compared to the traditional fiat currency exchange process, EURI as an electronic money token reduces costs and friction, enabling fast and efficient settlement of digital assets.
Finally, EURI holders can redeem at any time at a 1:1 ratio of 1 euro to 1 EURI, enjoying the flexibility of instant redemption. With the launch of EURI, Banking Circle not only consolidates its position in the stablecoin market, but also provides strong support for the future issuance of more stablecoins and tokenized currencies, further promoting market diversification and flexibility.
