SG Forge, the cryptocurrency subsidiary of French banking giant Société Générale, is preparing to launch a new US dollar-backed stablecoin, USD CoinVertible (USDCV), on the Ethereum and Solana blockchains. The new stablecoin is expected to begin trading in early July.
SocGen's Crypto Arm Makes Dollar-Backed Stablecoin Move: USD CoinVertible Is Coming
According to the statement made by SG Forge, the reserve custody service of the USDCV token will be undertaken by Bank of New York Mellon (BNY Mellon), one of the heavyweights of the traditional finance world. This move is considered an important step towards the integration of traditional finance (TradFi) and digital finance (DeFi).
SG Forge CEO Jean-Marc Stenger emphasized that interest in the stablecoin market is rapidly increasing and made the following statement:
“Following the euro-backed stablecoin EURCV, which was developed in accordance with MiCA regulations, the launch of a dollar version was a natural next step for Société Générale–FORGE.”
MiCA, which Stenger was referring to, is the European Union’s new regulatory framework for cryptocurrency markets. SG Forge was the first bank to issue a regulated stablecoin in Europe with EURCV.
The new stablecoin USDCV will compete with existing market giants like Tether (USDT) and Circle’s USDC. The stablecoin market is currently largely denominated in dollars. USDT has a market cap of around $155 billion, while USDC has a market cap of around $60 billion.
SG Forge stated that both USD CoinVertible and EUR CoinVertible stablecoins can be used in many areas such as crypto trading, cross-border payments, blockchain settlement transactions, foreign exchange transactions, collateral and cash management for institutional investors, companies and individual investors.
However, the company specifically emphasized that both USD CoinVertible and EUR CoinVertible stablecoins are not available to US citizens.
This development suggests that major European banks are becoming more deeply integrated into the crypto ecosystem, reinforcing the trend towards developing regulatory-compliant digital asset solutions.
*This is not investment advice.
