Important points
- After the new EU regulation (MiCA) came into force in 2024, the market capitalization of euro-denominated stablecoins doubled.
- EURS and EURC are leading the way in post-regulatory growth due to increased adoption and trading activity.
The combined market capitalization of euro-denominated stablecoins will double following the implementation of new EU regulatory rules in 2024, with EURS and EURC leading the growth, according to a report from London-based payments firm Decta.
This rally represents a significant reversal from previous declines in the euro stablecoin sector. EURC, a compliant euro stablecoin issued by Circle, has emerged as a leading option due to increased trading activity and exchange support since MiCA came into effect.
EURS is a Euro-pegged stablecoin designed for stable transfer of value within the crypto ecosystem and has seen significant uptake following the introduction of the MiCA regulatory framework in the EU. EURCV, another euro-backed stablecoin, is also seeing accelerating growth in usage alongside other compliant tokens.
The introduction of MiCA introduces uniform oversight for euro stablecoins, reducing uncertainty and increasing consumer protection. As issuers adapt to these rules, the market is entering a structural transition phase characterized by clearer regulatory expectations.
