Crédit Agricole's asset servicing division, CACEIS, has launched a euro-pegged stablecoin called EURXT on the Ethereum blockchain, with an initial issuance of 20.02 million tokens. The move marks a major step by a traditional European bank into crypto, sending a signal of growing institutional comfort with digital assets tied to fiat currencies.
EURXT is designed for institutional flows, particularly enabling access to tokenized funds. The stablecoin's issuance on Ethereum leverages the network's smart contract capabilities, positioning it as a vehicle for settling on-chain transactions in euros. Initial token supply was set at 20.02 million, according to the report.
European stablecoin projects are gaining traction amid the EU's Markets in Crypto-Assets (MiCA) regulatory framework, which came into force this year. Unlike in the US, where regulatory uncertainty has slowed stablecoin adoption by banks, MiCA provides a clear rulebook for issuers, encouraging traditional financial giants like Crédit Agricole to enter the space.
Crédit Agricole's market cap exceeds €35 billion, giving its stablecoin entry significant weight. The move could pressure smaller euro-backed stablecoin projects, such as those from Circle (EURC) or Stasis (EURS), by offering a bank-grade issuer with deep institutional ties. The stablecoin sector remains heavily dollar-pegged, with Tether and USDC dominating, so a euro alternative from a major bank could shift portfolio allocations.
Community reaction has been cautiously optimistic. Some developers noted that EURXT's reliance on a centralized issuer contradicts Ethereum's decentralized ethos, while others see it as a necessary bridge for mainstream finance. Rival banks in the Eurozone may now feel compelled to launch their own stablecoins to retain institutional clients.