Circle, the company behind USDC, launched its stable euro or EURC on the Stellar network due to its acclaimed performance.
After the success of the dollar stable, the company behind the USD Coin, Circle, launched their euro stable called EURC on the Stellar network. Which is now available on three layer one (L1) blockchains: Ethereum (ETH), Avalanche (AVAX) and now Stellar (XLM) according to Coinspeaker’s Steve Muchoki.
As a result, DeFi and Dapps developers in the three aforementioned chains can build financial ecosystems that can use EURC to capture the European market. In addition, EURC can be exchanged for euros at a 1:1 ratio 24/7.
The Stellar network was an easy choice for the Circle team because it offers a secure, scalable, and affordable ecosystem for running tokenized assets. It is also active in the European market, including facilitating the smooth transfer of aid to affected people in Ukraine. However, Stellar Network and Circle collaborated on other projects before including the USDC market.
After the launch of EURC on the Stellar network, the total outstanding assets of the three chains amounted to around €49.2 million, with the same amount of reserves. In particular, the reserve currency for the EURC is held by financial institutions based in the United States.
“The launch of Stellar’s EURC has the potential to radically improve European remittance corridors, cross-border payments, treasury management and aid disbursement,” said Rachel Mayer, vice president of product management at Circle.
Market Implications for Circle EURC on the Stellar Network
The introduction of EURC to Circle in the Stellar network will help open the European market to the global economy and therefore help to compete fairly with other leading countries. According to the announcement, Ripio, a leading Latin American crypto company that recently expanded to Spain, is the first web3 project to add EURC from the Stellar network to its wallet application, thus allowing seamless euro deposits and withdrawals.
“In 10 years we have spread our products throughout Latin America and now we are ready to make our mark in Europe with this important integration. “We are excited that the people of Spain now have a seamless access to digital assets like EURC and enjoy faster and cheaper transactions worldwide,” said Sebastián Serrano, CEO and co-founder of Ripio.
According to Denelle Dixon, Executive Director and CEO of the Stellar Development Foundation, the launch of EURC on the Stellar network is strategic to ensure the future development of both entities. In addition, there are similar products from different companies such as Tether, which could be a major competitor of EURC. However, the Stellar network has earned a reputation for providing quality and reliable digital asset services.