Circle Expands Euro Stablecoin to Solana

Stablecoin issuer Circle announced Monday that its euro-backed stablecoin, EURC, is now live on the Solana blockchain. The move marks the latest expansion for Circle as the firm seeks to drive mainstream global usage of stablecoin.

Launched in June 2022, EURC aims to bridge the gap between government-issued money and blockchain networks. The euro stablecoin provides faster and cheaper cross-border transactions compared to traditional banking.

Key Solana applications have integrated EURC

Key Solana applications and wallets have integrated EURC, enabling around-the-clock trading, lending, and borrowing. This follows EURC’s rollout on Ethereum, Avalanche, and Stellar.

The launch comes as stablecoins, which maintain parity with fiat currency, are tipped to become a vital backbone for global finance. Research firm Bernstein forecasts stablecoins could swell into a $3 trillion market within five years. Driving growth is rising adoption from financial platforms and merchants seeking to power payments and transactions via blockchain technology.

Circle, the creator of the second-largest stablecoin, USDC, is vying to play a central role in this mainstreaming. However, so far, euro stablecoins have lacked traction compared to dollar-pegged variants like USDC and Tether’s USDT.

EURC’s market cap stands around $55 million, dwarfed by USDC’s $24 billion. Yet Circle is betting broader cross-chain interoperability will help drive utility and adoption of its euro token.

“Users will be able to securely hold savings in euros without the need for a traditional bank account, offering a powerful tool for those looking to safeguard against local currency volatility or devaluation risks,” said Rachel Mayer, VP of Product Management at Circle.

Nevertheless, it remains to be seen whether EURC can gain significant traction in the swelling stablecoin space as Circle competes with a growing roster of providers.