The CEO of SG-Forge stated that the EUR CoinVertible smart contract was audited by the PwC professional services network prior to launch.
Societe Generale-Forge (SG-Forge), a regulated subsidiary of French banking firm Societe Generale, on April 20. Announced the launch of EUR CoinVertible, a stablecoin pegged to the euro. The Ethereum-based stablecoin will trade under the symbol EURCV and will be available to qualified institutional investors. Investors will have to go through SG-Forge’s Know Your Customer and Anti-Money Laundering procedures.
Jean-Marc Stenger, CEO of SG-Forge commented:
“In the coming weeks, Societe Generale-Forge will assess the interest of potential customers and answer their questions for gradual adoption.”
The EURCV stablecoin is expected to “bridge the gap between traditional capital markets and the digital asset ecosystem” and will be accessible via eligible market platforms. According to SG-Forge, the token was created due to the growing demand for a new settlement asset for on-chain transactions. The stablecoin will also provide new solutions for corporate treasury, cash management and cash pooling activities, on-chain liquidity financing, and refinancing.
SG-Forge revealed that the stablecoin is fully compliant with market standards, including the Compatible Architecture Framework for Security Tokens (CAST) for interoperability and open source securitization. The firm has pledged to ensure “full segregation” of collateral assets backing the value of the stablecoin. It will also provide daily transparency reports as well as collateral positions.
The CEO of SG-Forge also stated that the EUR CoinVertible smart contract was audited by the PwC professional services network prior to launch. The firm also engaged the advisory services of law firm White & Case, with the role of trustee being handled by Equitis Gestion, a private equity firm under the jurisdiction of French financial regulator Autorité des Marchés Financiers.
EUR CoinVertible was developed in compliance with the upcoming Markets in Crypto-Assets (MiCA) framework, a set of regulations for digital asset service providers operating in the region. Stenger believes that stablecoins built under a bank-grade structure are more likely to build trust in the native crypto ecosystem.
“This issuance is an important step in SG-Forge’s roadmap to offer innovative solutions to its clients, whether they are real money institutions and companies or entities in the crypto industry, and to facilitate the emergence of new market infrastructures based on blockchain,” he said. .
Societe Generale, one of the largest banks in France, has been active in the cryptocurrency and blockchain space in recent years. The bank began providing custody services for crypto fund managers in September 2022 through its Security Services subsidiary. It has also been investigating the issuance of security tokens. The issuance of an Etheruem-based stablecoin is notable because it is the first asset of its kind to be implemented on a public blockchain, according to the company. US-based JPMorgan launched a stablecoin in 2020. However, the internal stablecoin is used as a means of settlement between financial institutions and transactions on the bank’s internal Onyx network.
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Mercy Mutanya is a technology enthusiast, digital marketer, writer, and IT business management student. She likes to read, write, do crossword puzzles, and binge-watch her favorite TV series.
