Societe Generale Shakes Up Crypto: EUR & USD Stablecoins Hit Ethereum DeFi Protocols
Traditional finance giant drops blockchain bombshell—deploying regulated euro and dollar stablecoins directly onto Ethereum's decentralized ecosystem.
The Institutional On-Ramp
France's third-largest bank bypasses crypto skepticism, embedding banking-grade digital currencies into DeFi protocols that previously operated entirely outside traditional systems. No more waiting for bank transfers—these stablecoins move at blockchain speed.
Regulation Meets Revolution
Societe Generale's move validates what crypto maximalists claimed for years: even the most conservative institutions can't ignore DeFi's efficiency. The bank's blockchain subsidiary forged this path while competitors still debate whether to dip toes in crypto waters.
Wall Street's worst nightmare—watching from the sidelines while blockchain eats their lunch. Again.
Société Générale maintains strategy despite underwhelming performance
The applicable vaults, collateral rules, and default handling will be overseen by MEV Capital, an asset management firm.
MEV Capital is collaborating with Societe Generale-FORGE (SG-FORGE) to bring USD and EUR CoinVertible stablecoin vaults on-chain via @MorphoLabs.
It will enable lending & borrowing against blue-chip assets, expanding institutional-grade liquidity and utility in DeFi. pic.twitter.com/umftq1xrg3
— MEV Capital (@MEVCapital) September 30, 2025
Société Générale‘s foray into DeFi with euro stablecoin deposits underscores the accelerating convergence between established financial institutions and blockchain innovation. Similar collaborations have gained traction across the sector, as evidenced by SWIFT’s selection of Linea for blockchain trials alongside major banks.
Additionally, Deutsche Börse Group has signed a memorandum of understanding with Circle Internet Group to bring regulated stablecoins into Europe’s financial market infrastructure.
EURCV is currently worth approximately $66 million on the market, while USDCV is valued at $32.2 million. This is still a minor amount compared to the market leaders, Circle’s EURC, which is worth $260 million, and Tether’s USDT, which is worth $174.8 billion.
According to reports, traditional finance-backed stablecoins, such as PayPal’s PYUSD and SocGen’s EURCV, struggled to gain meaningful traction. Despite brand recognition and regulatory alignment, both coins have seen limited adoption and utility in a market dominated by crypto-native incumbents.
Their underperformance pointed to the challenges TradFi institutions face in competing with established decentralized players. However, the door remains open for future entrants, particularly as the US approaches regulatory clarity.
Meanwhile, as announced, Société Générale started on a EUR 1 billion ordinary share buy-back program for share cancellation. As of September 26, 2025, Société Générale has completed 72.7% of its share buyback program, representing 1.7% of its share capital.
Stablecoin market global adoption
Stablecoins are making headway in global adoption as regulatory clarity improves. A recent report indicates that $94.2 billion in stablecoin transactions were settled between January 2023 and February 2025. Additionally, the stablecoin market has increased by over 5% in the last 30 days. Its market cap is at $289 billion with over 192 million participants.
In South Korea, the government is moving forward with crypto legislation that could pave the way for domestic stablecoin issuance, a key campaign promise of President Lee Jae-myung.
In the US, upcoming stablecoin regulation is reportedly prompting major tech firms, including Apple, X, and Airbnb, to explore digital token integration. Recent pictures of a Bolivian airport shop display prices in Tether’s USDT stablecoin, suggesting that more people are using it unofficially since a local bank began offering USDT custody last year.
Uber, the ride-sharing behemoth, is reportedly in the “study phase” of exploring how stablecoins could help reduce the costs of international money transfers. Payment processing company Stripe is also reportedly in talks with banks about potentially integrating stablecoins into its services.
Meanwhile, attention to security remains paramount, following significant incidents such as the connection between Kiln Finance and the $42 million SwissBorg theft. This highlights risks inherent to emerging decentralized protocols.
The smartest crypto minds already read our newsletter. Want in? Join them.
