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Ten major European banks including BNP Paribas, ING, and UniCredit have formed a consortium to launch Qivalis, a euro-denominated stablecoin targeting crypto trading markets in the second half of 2026.
The initiative represents Europe’s most significant institutional push to challenge the dominance of U.S. dollar stablecoins like Tether, which account for over 90% of the $200 billion stablecoin market.
The Qivalis project is centered on launching a Euro pegged stablecoin that can compete with the dominance of U.S. dollar-backed tokens such as Tether, which currently account for the vast majority of stablecoin activity globally.
The consortium includes BNP Paribas, ING, UniCredit, KBC, Caixabank, Danske Bank, SEB, DekaBank, Banca Sella, and Raiffeisen Bank International. BNP Paribas joined after the initial announcement, according to the group.
The Euro pegged stablecoin is being developed by Amsterdam-based Qivalis, which plans to hire between 45 and 50 employees over the next two years. About one-third of those positions have already been filled. Former Coinbase Germany CEO Jan-Oliver Sell has been appointed chief executive, while Howard Davies, former chair of NatWest, will serve as chair.
The consortium said the Euro pegged stablecoin is designed to provide near-instant settlement and low transaction fees, initially targeting cryptocurrency trading venues. Over time, Qivalis intends to expand the token’s functionality into wider payment and settlement use cases across Europe.
“The token is expected to launch in the second half of 2026, pending regulatory approval and licensing,” — Qivalis consortium, in its announcement.
Supporters of the project argue that a Euro pegged stablecoin issued by regulated banks could fill a critical gap in Europe’s digital finance landscape.
While stablecoin usage has surged globally, euro-denominated options remain limited. Société Générale’s SG-FORGE currently has around €64 million in circulation, highlighting the relatively small scale of existing euro stablecoins compared with their dollar-based counterparts.
Qivalis plans to apply for an Electronic Money Institution (EMI) license from the Dutch central bank, a step that would allow it to issue and manage the Euro pegged stablecoin under European regulatory frameworks.
The firm has also engaged with the European Central Bank, which, according to sources familiar with the discussions, has expressed support for a European-led solution that enhances strategic autonomy in payments.
“The stablecoin will first focus on cryptocurrency trading, offering near-instant, low-cost payments and settlements,” — Qivalis consortium, in a statement outlining its rollout plans.
By anchoring the Euro pegged stablecoin within existing banking institutions, the consortium aims to address long-standing regulatory concerns around governance, reserve backing, and systemic risk that have followed privately issued digital tokens.
European regulators have repeatedly warned that widespread adoption of private stablecoins could divert deposits away from regulated banks and weaken the transmission of monetary policy. The ECB has been particularly vocal about the need for oversight as digital assets become more integrated into financial markets.
Against that backdrop, Qivalis is positioning its Euro pegged stablecoin as aligned with European regulatory expectations rather than disruptive to them. By involving major banks directly, the consortium argues that the project can operate within existing safeguards while still delivering the speed and efficiency associated with blockchain-based payments.
“With few euro stablecoins live today, Qivalis is pitching itself as a European-led alternative,” sources familiar with the project said, noting regulatory engagement with the ECB.
The initiative also reflects a broader trend of institutional experimentation. Separate groups of banks in Europe and the United States are exploring stablecoin issuance, according to industry reports, signaling growing acceptance of tokenized money within traditional finance.
If successful, the Qivalis Euro pegged stablecoin could reshape how value moves across European markets, particularly in crypto trading and cross-border settlements. For now, the project remains subject to regulatory approvals and licensing timelines, with its second-half-2026 launch dependent on clearance from the Dutch central bank.
The consortium’s focus on compliance, governance, and alignment with European institutions sets it apart from many earlier stablecoin experiments. As policymakers continue to debate the role of digital money, Qivalis represents a test case for whether a bank-backed Euro pegged stablecoin can gain traction without undermining financial stability.
While competition from dollar-based tokens remains intense, the launch of a Euro pegged stablecoin backed by some of Europe’s largest banks underscores a strategic push to ensure that the euro has a meaningful presence in the next generation of digital payments.
