Euro-denominated stablecoins account for more than 80% of the non-US dollar stablecoin market, which has grown to approximately $1.2 billion in total supply, according to a report commissioned by Visa and compiled by analytics platform Dune. Euro stablecoins also represent 85% of transfer volume within that segment. Circle‘s EURC has emerged as the leading euro token in the space, with its total supply surpassing $506 million as of February 27. Both Visa and Mastercard have separately expanded settlement support for EURC across parts of their respective networks.
The non-US dollar stablecoin market now processes roughly $10 billion in monthly transfer volume, reflecting a significant increase in usage over the past three years. Despite this growth, euro stablecoins remain a small fraction of the broader stablecoin sector, which totals between $300 billion and $316 billion overall. The euro itself accounts for approximately 20% of global foreign exchange reserves, according to data from DefiLlama. Excluding EURC, around 80% of euro stablecoin activity is tied to payments, remittances, payroll, and treasury operations.
Industry observers point to regulatory developments in Europe as a key factor behind the rising interest in euro stablecoins. Nic Puckrin, CEO and co-founder of educational platform Coin Bureau, said European businesses operating in euros are increasingly turning to stablecoins, driven by the regulatory clarity now present in the Eurozone. He noted that the Markets in Crypto-Assets Regulation, known as MiCA, which came into effect for crypto asset service providers on December 30, 2024, is the primary driver of this trend. Puckrin added that ongoing delays surrounding the development of a digital euro could give private stablecoin issuers additional room to address gaps in Europe’s digital payments landscape.
Puckrin also highlighted why EURC has gained traction specifically among euro-focused users. “EURC is a natural choice because it’s issued by Circle, an established entity that has already won trust with its USDC product,” he said. Circle has been positioning both EURC and USDC as instruments for continuous euro-dollar foreign exchange flows through its StableFX infrastructure. The platform is designed to allow institutions to move between currencies outside of traditional banking hours, offering an alternative to conventional settlement systems.
However, experts caution that broader adoption of euro stablecoins at scale will depend on the availability of compliant infrastructure for financial institutions. Mouloukou Sanoh, co-founder and CEO of cross-border liquidity platform Mansa, told Cointelegraph that payment providers, treasury teams, and licensed financial companies need adequate tools before euro stablecoins can achieve mainstream use. He emphasized that the companies gaining ground are those building for licensed payment operators rather than developing generic platforms. “Infrastructure that lets a head of treasury at a payment service provider or electronic money institution move money in real time without prefunding, compliance friction or operational chaos” is what the market requires, he said.
The report signals a broader shift in how European financial entities are approaching digital currency infrastructure, with stablecoins increasingly integrated into payment systems rather than treated as purely speculative assets. The combination of MiCA’s regulatory framework and growing institutional interest in real-time settlement tools appears to be reshaping how euro-denominated value moves across digital networks. Whether this momentum translates into large-scale adoption will likely hinge on how quickly compliant infrastructure can be deployed across the continent’s financial ecosystem.
Originally reported by CoinTelegraph.
