Schuman Financial launches EURØP, a MiCA-compliant euro-backed stablecoin, bridging traditional finance and blockchain ecosystems.
Schuman Financial, a European blockchain startup, launched EURØP, a euro-backed stablecoin. EURØP is designed to integrate traditional finance with blockchain ecosystems. The stablecoin is fully compliant with the EU’s MiCA regulations, ensuring security and regulation. This product is designed to bridge the gap between DeFi and TradFi, and that is the idea behind it.
The Schuman Financial team realized the absence of euro-backed stablecoins in the market. Although the euro is used as a common currency, it only makes up 0.98% of all stablecoins. They attributed this to the absence of regulatory guidance as well as the relatively slow advancement of technology in Europe as compared with the USA and Asia. However, the MiCA regulations that came into force in 2023 opened up a possibility to onboard European finance to the blockchain.
Schuman Financial was established by professionals in the fields of cryptocurrencies, finance, and EU policy. Their first product is EURØP, which is a stablecoin to be provided by a French-regulated company with an EMT license. This enables them to launch stablecoins that are in conformity with the requirements of the MiCA.
As stated by the CEO, Martin Bruncko, it is high time to onboard European finance to the blockchain. EURØP has no debt on its balance sheet and is supported in full by cash and cash equivalent instruments. It can be employed in payments in the digital economy, as a tokenized asset, and for digital foreign exchange trading. According to Bruncko, stablecoins are the bridge between TradFi and the digital asset space and provide faster settlements and lower fees.
MiCA Regulations Expected to Accelerate Euro Stablecoin Use
The seed round was closed in September 2024 when Schuman Financial secured €7 million from RockawayX. The funds enabled them to purchase Salvus SAS which is currently trading as Schuman Financial. Viktor Fischer, the CEO of RockawayX, said that euro-backed stablecoins have great prospects because of the prospects of European regulation and the need for a stablecoin for non-American traders.
Schuman Financial is interested in making as many people use EURØP as possible. They have worked with such global banks as Société Générale and are connecting with the most important digital asset custodians. EURØP is expected to be launched on prominent European stock exchanges. In addition, this will also move to other blockchains and DeFi platforms.
The MiCA regulations that eliminate past ambiguities are believed to help spur the use of euro-backed stablecoins once EURØP is launched. Martin Bruncko stated that traditional financial services are undergoing a major transition to on-chain systems, and Europe is set to play a leading role.
