Jan-Oliver Sell, the chief executive of the stablecoin initiative called Qivalis, founded by leading European banks, brings up that if the euro does not quickly complete its digital transformation, Europe may cede control of its financial future to the US dollar. Sell emphasizes that dollar-indexed stablecoins such as Tether and USDC play a decisive role today, when global finance is increasingly built on blockchain-based infrastructure.
Qivalis’ Goal and the Role of Banks
Qivalis, which has the support of major banks in Europe, aims to strengthen the presence of the euro on the blockchain and shake dollar-centered balances. Developed by a consortium including 12 major banks such as ING, UniCredit and BBVA, Qivalis is preparing to close a significant gap in the financial ecosystem in Europe.
In the first phase, the company aims to launch a euro stablecoin that is fully compliant with “MiCA” regulations. While approval from regulatory authorities is awaited for the launch of the project, it is stated that a step can be taken towards the second half of the year after the licensing processes are completed at the Dutch Central Bank. Sell underlines that Qivalis will function not only as a token but also as an infrastructure bridge between the blockchain and the euro.
In the European financial market, the euro still has a significant weight as the second largest reserve currency. However, the share of the euro in transactions made on the blockchain remains at a very low level. Sell said, “In the blockchain world, only 0.2 percent of transactions are made in euros, which indicates a significant gap.” He speaks as follows.
European Central Bank’s Digital Euro Plan and the Stablecoin Race
Although the European Central Bank continues to work on the digital euro, the project is planned to be implemented in 2029 at the earliest. Qivalis aims to launch a euro stablecoin that can be used on privately owned, regulated and public blockchains.
“We do not see this as an element of competition, but as a complementary step that strengthens the same financial infrastructure.”
Qivalis states that the reason why euro stablecoins have not become widespread to date is due to fragmented structures and insufficient liquidity. Sell argues that coins issued by a few banks alone make it difficult to distribute them in the ecosystem, and that it would be possible to increase the usage area and liquidity by combining the powers of institutions.
While the global stablecoin market has been growing rapidly in recent years, the current size is projected to reach a range of $800 billion to $1.15 trillion in the next five years, according to Jeffries’ analysis. Qivalis plans to respond to this rapid transformation of the market with a euro token with strong liquidity that complies with European regulations.
Sell points out that euro-based alternatives can reduce foreign exchange risk. Users operating in Europe may face additional risks due to exchange rate fluctuations in dollar-based transactions.
The long-term goal of the project stands out as contributing to Europe’s digital autonomy and ensuring that the euro remains at the center of financial innovations.
