French bank giant Societe Generale has announced the launch of a U.S. dollar-pegged stablecoin called USD ConVertible (USDCV). Issued through SG-FORGE, the bank’s crypto-focused division, the new stablecoin will run on both the Ethereum and Solana blockchains, offering fast and secure transactions 24/7
According to the press release, BNY Mellon will serve as the official custodian of the fiat reserves backing USDCV. The coin is expected to start trading in early July, offering investors the chance to send and receive in a regulated and bank-issued digital dollar.
This move comes after SG-FORGE launched EUR CoinVertible (EURCV), a euro-pegged stablecoin, in April 2023, By adding a U.S. dollar option, Societe Generale now provides access to two of the world’s most used fiat currencies in their digital form.
SG-FORGE CEO Jean-Marc Stenger explained the strategy behind this decision, stating “ The stablecoin market remains largely US dollar-denominated. This new currency will enable our clients, either institutions, corporates, or retail investors, to leverage the benefits of an institutional-grade stablecoin”
Meanwhile, both stablecoins are fully compliant with the proposed Crypto-Assets (MiCA) Regulation and accordingly have been classified as Electronic-Money Tokens (EMT), ensuring that they adhere strictly to transparency and security requirements imposed by regulators.
Furthermore, the stablecoin will be made available through crypto brokers and payment service providers, with 24/7 instant conversions between fiat and digital currencies. SG-FORGE said it aims to deliver a smooth trading experience, backed by reputable market makers who will provide liquidity.
The launch comes at a time when stablecoin is seeing rapid growth. Just recently, the market surpassed $250 billion, with continued interest from traditional financial players. In addition to Societe Generale, other banks are exploring similar offerings, while companies like Circle and Stripe are helping bridge the gap between crypto and finance.
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