As Europe prepares for the comprehensive implementation of the Markets in Crypto-Assets Regulation (MiCA) by the year’s end, a notable development has emerged in the cryptocurrency sector. Schuman Financial, a burgeoning cryptocurrency enterprise founded by former Binance executives Martin Bruncko and Eduardo Morrison, has unveiled EURØP, a euro-backed stablecoin. This innovative financial product, maintaining a 1:1 peg to the euro, is set to appeal to a global audience with its foundational uses in digital payments, on-chain foreign exchange trading, and the tokenization of real-world assets.
The Stability and Security of EURØP
EURØP distinguishes itself by being fully backed by cash and cash equivalents. Initially, it will be available on Ethereum and Polygon networks, with plans for further expansion in the pipeline. This stablecoin is designed to provide a robust and secure option for those engaged in digital transactions and investments.
Schuman Financial’s Strategic Growth and Investment
The launch of EURØP follows Schuman Financial’s successful acquisition of 7 million euros (approximately $7.36 million) in a seed funding round led by RockawayX. This financial boost, supported by prominent investors including Lightspeed Faction, Kraken Ventures, and Nexo Ventures, reinforces the firm’s commitment to innovation in the financial technology sector. Although an exact launch date for EURØP has not been set, Schuman Financial anticipates the stablecoin will be live within two weeks.
The Euro’s Emerging Role in Digital Financial Services
Schuman Financial CEO, Martin Bruncko, emphasizes the euro’s significant potential in the digital asset space. “Currently, global euro-denominated financial services constitute about one-third of the financial services market, which is dominated by the USD,” Bruncko explains. “As financial services transition on-chain, the euro’s influence is poised to expand, and we are already witnessing a surge in interest for stablecoin payments.”
Europe’s Position in the Global Financial Landscape
Europe stands as the second-largest financial market worldwide and is the home of the second most-utilized currency. However, this prominence is not yet mirrored in the stablecoins market. Schuman Financial is dedicated to developing the necessary technology and products to position Europe as a global leader in the on-chain era, reshaping the financial ecosystem.
Market Access and Compliance
Despite targeting a global demographic, Schuman Financial will impose restrictions in high-risk countries such as Iran, North Korea, Venezuela, and Russia. The company’s list of high-risk jurisdictions includes 107 countries, which notably comprises significant stablecoin markets like Turkey, El Salvador, South Africa, and the UAE.
Compliance with MiCA and Licensing Milestones
EURØP’s compliance with the MiCA framework was achieved through Schuman Financial’s subsidiary, Salvus SAS, acquiring an e-money token license. Notably, Schuman Financial has become the first European entity to obtain a stablecoin issuer license in France under the EU’s MiCA, granted by the French Autorité de Contrôle Prudentiel et de Résolution (ACPR). This milestone enables the company to issue e-money tokens pegged to any currency within European markets.
Future Prospects and Web3 Ecosystem Integration
The acquisition of the MiCA license marks a significant achievement in Schuman Financial’s growth trajectory. With this regulatory approval, the company intends to expedite the development of a euro-centric Web3 ecosystem. This ecosystem aims to provide real-world applications and facilitate the integration of traditional finance into the on-chain realm, heralding a new era of digital finance.
