Stable cryptocurrencies are backed by tangible assets and, in the case of Euro Coin, its launch coincides with the collapse of Bitcoin prices, ethereum and other companies in the sector.
Circle already owns USD Coin, the second most popular stablecoin in the industry, with more than $54 billion; the most popular is Tether, with a market capitalization of more than $70 billion.
The “stablecoins” act as a link between traditional financial services and those who want to invest or lend in Bitcoins or Ethereums.
Euro Coin will be backed by euros held in euro-denominated bank accounts, Circle reported.
The launch is scheduled for June 30 and the code of this new digital currency can be executed on the Ethereum network.
“Circle aims to bring Euro Coin to many of the world’s major blockchains for broad ecosystem support and interoperability”the company said.
He added that several leading cryptocurrency ecosystem entities will support Euro Coin, such as Binance.US, Bitstamp, FTX, and Huobi Global.
Euro Coin will not be the only stablecoin that maintains parity with the euro: for example, the Tether company has its digital version, the Tether EURt (EURT).
There is also Stasis Euro (EUROST), developed by the Stasis company and operating on the Ethereum, Algorand and Matic networks.