Societe Generale-FORGE (SG-FORGE) announced it will launch a new stablecoin, the USD CoinVertible, on both the Ethereum and Solana public blockchains. BNY will act as reserve custodian. The USD CoinVertible is the second stablecoin issued by SG-FORGE after the EUR CoinVertible launched in April 2023. SG-FORGE will propose to its clients instant 24/7 conversion between fiat currencies and stablecoin for immediate, around-the-clock transactions in both USD and EUR.
Both USD CoinVertible and EUR CoinVertible are Electronic-Money Tokens (EMT) fully compliant with the European Markets in Crypto-assets (MiCA) regulation. SG-FORGE, as stablecoin issuer, is licensed as an Electronic Money Institution (EMI) by the French “Autorité de contrôle prudentiel et de résolution” (ACPR). Neither of the stablecoins are available for US persons.
USD CoinVertible and EUR CoinVertible are designed to support a wide range of client activities, including crypto trading and cross-border payments, on-chain settlement, foreign exchange transactions, and collateral and cash management. The stablecoins will be listed on various crypto exchanges and available to institutional, corporate and retail investors through different crypto brokers and payment service providers, with liquidity provided by several reputable market makers. Trading of USDCV is expected to start early July. Neither USD CoinVertible nor EUR CoinVertible are available to US Persons.
Like the EURCV, the collateral composition and valuation backing the USDCV are publicly disclosed on a daily basis on the SG-FORGE website. The collateral composition complies with stringent eligibility criteria (e.g., minimum rating, liquidity). BNY will act as a reserve custodian for USDCV, combining its heritage and role as the world’s leading custodian with its deep experience supporting the expanding and evolving digital assets ecosystem.
“After the release of a MiCA-compliant EUR stablecoin (EURCV), the launch of a US Dollar version (USDCV) was the obvious next step for Societe Generale–FORGE as market adoption of stablecoins is growing exponentially. The stablecoin market remains largely US Dollar denominated. This new currency will enable our clients, either institutions, corporates or retail investors, to leverage the benefits of an institutional-grade stablecoin” says Jean-Marc Stenger, chief executive officer of SG-Forge, in a statement.
“BNY’s established history and deep expertise across traditional and digital assets is propelling the future of the financial system across cash, investment management, custody, collateral, on-chain data, payments and beyond. The cash market is undergoing a massive transformation, and stablecoins with 24/7 capabilities are catalyzing much of this change. They have the potential to enhance resiliency, drive operational efficiencies, and create new opportunities for corporates and investors alike” said Carolyn Weinberg, chief product and innovation Officer at BNY, in a statement.