French minister urges banks to expand euro stablecoins, tokenized deposits: report

French Finance Minister Roland Lescure called on European banks to accelerate development of euro-pegged stablecoins and tokenized deposits, warning that the region's digital payments infrastructure remains too reliant on U.S.-dominated rails. 

In pre-recorded remarks delivered at a crypto conference in Paris on Friday, Lescure said the relatively small volume of euro-pegged stablecoins compared to dollar-pegged ones was "not satisfactory," Reuters reported.

He voiced support for a bank-led initiative from ING, UniCredit and BNP Paribas, which formed a company to launch a euro-pegged stablecoin in the second half of 2026. "That is what we need and that is what we want," Lescure said, referring to the consortium. He also strongly encouraged banks to further explore launching tokenized deposits.

The push comes as USD-pegged stablecoins continue to dominate the sector. Total supply for dollar-linked tokens has exceeded $300 billion, according to data from The Block. Tether's USDT leads with a market cap of nearly $186 billion, while Circle's USDC ranks second at approximately $78.8 billion.

By comparison, euro-pegged stablecoins remain a fraction of that market. Data tracked by CoinGecko shows total euro stablecoin market capitalization at $912 million, with Circle's EURC leading the segment at $426.9 million. STASIS' EURS follows with $150.3 million, while CoinVertible (EURCV), launched in 2023 by Societe Generale, ranks third at $126.7 million.

While Reuters cited research from RBC Capital Markets showing two-thirds of surveyed European banks report limited demand for stablecoins, other datasets point to growing use in payments and savings. 

A February study from BVNK conducted with Coinbase and Artemis, based on a YouGov survey of 4,658 adults across 15 countries, found that 54% of respondents held stablecoins in the prior 12 months and 56% planned to acquire more. The report said holders allocate roughly one-third of their total savings to crypto and stablecoins combined.

Separate research from payment infrastructure firm Borderless shows stablecoin-based foreign exchange pricing is approaching parity with traditional banking rails in several corridors. Fourteen of 21 tracked blockchain-based currencies traded within 100 basis points of interbank FX rates by March, based on more than 1.1 million pricing observations across 51 currencies.