Spanish lender BBVA joins EU banks' stablecoin venture to challenge digital dollars

AI Summary3 min read

TL;DR

Spanish bank BBVA joins Qivalis, a group of EU banks, to develop a regulated euro stablecoin aimed at challenging dollar-dominated stablecoins. The project seeks Dutch central bank authorization under MiCA and plans a 2026 launch.

Key Takeaways

•BBVA joined Qivalis, a consortium of major EU banks, to create a euro-denominated stablecoin to compete with dollar-based tokens.
•The stablecoin market is dominated by dollar tokens ($300 billion), while euro tokens have less than $1 billion in market cap.
•Qivalis is seeking authorization from the Dutch central bank under the EU's MiCA framework and plans to launch the token in the second half of 2026.
•The initiative aims to provide a bank-backed alternative for EU businesses and consumers to make blockchain-based payments in euros.
•Collaboration among banks is emphasized as key to developing common standards and a trusted European on-chain payment ecosystem.

European Union Flag — BBVA joined a group of EU banks looking to issue a euro-denominated stablecoin. (Christian Lue / Unsplash / Modified by CoinDesk)

What to know:

Spain's second-largest bank by assets, BBVA, joined Qivalis, a group of a dozen major EU lenders, to develop a regulated euro stablecoin that's planned to rival dollar-based tokens.
Tokens tied to the U.S. dollar dominate the $300 billion stablecoin market, with euro-denominated tokens having less than $1 billion market capitalization.
Qivalis is seeking authorization from the Dutch central bank under the EU’s MiCA framework and plans to debut its token in the second half of 2026.

Spain's second-largest bank by assets, BBVA, joined Qivalis, a group of a dozen major EU lenders, to develop a regulated euro stablecoin that's planned to rival dollar-based tokens.
Tokens tied to the U.S. dollar dominate the $300 billion stablecoin market, with euro-denominated tokens having less than $1 billion market capitalization.
Qivalis is seeking authorization from the Dutch central bank under the EU’s MiCA framework and plans to debut its token in the second half of 2026.

BBVA, Spain's second-largest bank by assets, said it joined Qivalis, a group of lenders aiming to introduce a regulated euro stablecoin and challenge the dominance of digital dollars.

Adding BBVA, which has $800 billion of assets, the group now includes a dozen major European Union banks, including BNP Paribas, ING and UniCredit.

The project's goal is to create a token backed by a network of established banks, offering an alternative to crypto-native stablecoins, many of which are tied to the dollar and operated by companies based outside of the bloc.

Of the $300 billion stablecoin market, only $860 million are tied to the single currency. Tether, based in El Salvador, dominates with its $185 billion USDT, followed by New York-based Circle Internet's (CRCL) $70 billion USDC.

A euro-pegged coin could allow EU businesses and consumers to make blockchain-based payments and settlements using euros, without relying on traditional financial rails or third-party providers outside the bloc.

"Collaboration between banks is key to create common standards that support the evolution of the future banking model," Alicia Pertusa, head of partnerships and innovation at BBVA CIB, said in a statement.

BBVA's involvement "reflects the increasing dedication of European banking institutions to jointly develop a European on-chain payment ecosystem based on the trust that banks provide," said Jan-Oliver Sell, CEO of Qivalis and a former executive of Coinbase Germany. "This step consolidates Qivalis’ standing as Europe's foremost bank-supported stablecoin initiative."

Qivalis is currently pursuing authorization from the Dutch central bank to operate as an electronic money institution, a step required to issue stablecoins under the EU’s digital asset regulatory framework dubbed MiCA.

The project plans to debut the token in the second half of 2026.