TLDR

SG Forge will launch the first bank-issued dollar stablecoin on the Ethereum blockchain.
The stablecoin will initially target institutional clients seeking regulated dollar liquidity in digital form.
After its debut on Ethereum, SG Forge plans to expand the stablecoin to other blockchain networks such as Solana.
This is SG Forge’s second stablecoin project, following its earlier euro-pegged EUR CoinVertible, launched in 2023.
The dollar stablecoin will operate under SG Forge’s EU e-money license, allowing compliance with European regulations.

SG Forge, the blockchain unit of Société Générale, will launch a dollar-backed stablecoin on Ethereum, marking a global first. This move positions SG Forge as the first major banking group to issue a U.S. dollar stablecoin on a public blockchain. The launch strengthens SG Forge’s push into regulated digital assets and expands its reach into the growing dollar stablecoin market.

SG Forge to Issue Dollar Stablecoin on Ethereum

SG Forge will introduce the dollar-pegged stablecoin directly on the Ethereum network and expand to other blockchains later. The firm aims to meet demand in the European Union for regulated access to tokenized dollar liquidity. The stablecoin will operate under SG Forge’s EU e-money license, which ensures full compliance with regulatory frameworks.

Unlike JPMorgan‘s JPM Coin, which functions only on a private network, SG Forge’s stablecoin will run on a public chain. The project will begin with institutional clients and may later explore wider usage depending on market dynamics. The new product complements SG Forge’s digital asset strategy and reflects the group’s broader commitment to financial tokenization.

The bank is entering a market led by Circle and Tether, but brings banking-grade oversight and licensing. The company’s regulated status provides an alternative for clients needing dollar-stablecoins in a legally secure format. Ethereum offers immediate access to a broad digital finance ecosystem, enabling seamless integration with decentralized finance tools.

EUR CoinVertible Established the Foundation

SG Forge earlier launched EUR CoinVertible (EURCV), a euro-backed token for institutional use, also built on Ethereum. EURCV gave SG Forge early experience in managing regulated digital currencies under Europe’s Markets in Crypto-Assets Regulation. The stablecoin holds €40 million in circulation and has supported pilots in digital bond settlements.

Despite its utility, EURCV adoption remains limited due to regulatory complexity and a smaller euro-pegged stablecoin market. Euro stablecoins represent just a fraction of the total market value, with only €300 million circulating compared to $250 billion in dollar stablecoins. SG Forge hopes the U.S. dollar version will reach broader usage and scale more efficiently.

EURCV laid the groundwork for SG Forge to manage reserves, issue tokens, and operate under strict legal standards. This experience allows SG Forge to extend those capabilities to a more competitive and globally recognized dollar asset. It also helps establish a trusted European option in a space mostly led by U.S. companies.

Growing Institutional Demand Fuels Dollar Stablecoin Launch

The rising use of stablecoins in global payments and finance drives demand for secure and regulated digital dollar products. SG Forge addresses this demand with a bank-issued stablecoin that combines public blockchain access and legal oversight. Institutions seeking compliance-ready dollar liquidity will gain new options through SG Forge’s platform.

Regulatory clarity in Europe supports the initiative, especially as global lawmakers consider frameworks for stablecoin issuers. In the United States, draft laws such as the GENIUS Act push for greater issuer transparency and stronger reserve requirements. SG Forge’s licensed operations position it well to meet evolving legal and market expectations.

Major payment firms like Visa and Stripe are adopting stablecoin tools, showing the sector’s role in payment innovation. SG Forge enters this space with the advantage of traditional finance credibility and regulatory preparedness.

The post From Euro to Dollar: SG Forge Plans Stablecoin Surprise on Ethereum appeared first on CoinCentral.

---

Filed under: News - @ May 20, 2025 2:28 pm