Dutch Central Bank Grants EMI License to Qivalis for Euro-Backed Stablecoin Initiative
The consortium Qivalis announced it has secured Electronic Money Institution authorization, a crucial step toward launching its euro-backed stablecoin, with the token's release expected in upcoming months following compliance with additional MiCA regulations.
Qivalis, a consortium of European banking institutions, has successfully obtained Electronic Money Institution (EMI) authorization from the central bank of the Netherlands, marking a significant milestone toward the issuance of a stablecoin pegged to the euro currency.
The company, which operates from its Amsterdam headquarters, disclosed the licensing approval from De Nederlandsche Bank (DNB) through an announcement made public on Wednesday and provided to Cointelegraph.
According to Qivalis, the EMI license places the company under continuous regulatory oversight by the Netherlands' central bank and provides authorization to issue electronic money tokens denominated in euros.
The regulatory approval represents the clearance of a significant compliance obstacle, positioning Qivalis to move forward with launching its euro-pegged stablecoin in accordance with the Markets in Crypto-Assets Regulation (MiCA). The firm intends to commence token issuance in the months ahead, contingent upon meeting relevant MiCA compliance standards and publishing its official white paper.
The company aims to bring a euro-pegged stablecoin offering to a marketplace currently dominated by stablecoins tied to the US dollar. According to data from DefiLlama, Tether USDt's (USDT) market capitalization of $183 billion represents more than 60% of the entire $303 billion stablecoin sector.
"We believe Europe should have a euro-denominated on-chain settlement asset issued under European law and subject to European regulatory standards,"
Jan-Oliver Sell, CEO of Qivalis
During May, the consortium welcomed 25 additional banking institutions spanning 15 different countries, bringing the total number of supporting institutions to 37.