Euro Stablecoin Market Analysis: Small Size but Great Potential

As the world's second largest currency, the euro's market share in the blockchain stablecoin sector is less than 1% of that of the US dollar stablecoin. Recently, with some major issuers starting to position themselves, this situation may change. This article will provide an in-depth analysis of several major euro stablecoins, including their issuance mechanisms, scale, and application situations.

Euro Tether (EURT)

Despite the controversies surrounding Tether's compliance and transparency, it remains a leader in the stablecoin space. EURT is the euro stablecoin issued by Tether, similar to USDT, and is backed by actual asset reserves.

As of July 21, the circulation of EURT is approximately 108 million, mainly circulating on the Ethereum network. Data shows that the largest holder of EURT is a certain trading platform, followed by two liquidity pools of a certain DEX, the Polygon cross-chain bridge, and another trading platform. It is worth noting that the on-chain usage ratio of EURT is relatively low, with most held by external accounts.

Euro Coin (EUROC)

A well-known payment company launched EUROC on the Ethereum blockchain on June 30. The company claims that the issuance of EUROC is fully backed by euros in bank accounts valued in euros.

Since EUROC has just been launched, its issuance is relatively small, around 320,000. Currently, most EUROC is held by unidentifiable external accounts, with only a small amount of liquidity on-chain in a certain decentralized exchange.

STASIS EURO (EURS)

EURS is a euro stablecoin issued by the STASIS platform, which was launched in July 2018. Its issuance mechanism is similar to Tether, claiming to be backed 1:1 by collateral in reserve accounts and is subject to regular audits.

The issuance of EURS is approximately 78.61 million, mainly concentrated on the Ethereum mainnet, with a small amount distributed across several other blockchain networks. Blockchain explorers show that the total supply of EURS is 124 million, with nearly 40% on a certain DEX, and another DEX also has some liquidity.

agEUR (AGEUR)

agEUR is an innovative decentralized stablecoin. Users can mint agEUR at a 1:1 ratio using supported tokens, while the protocol manages exchange rate risks through a hedging mechanism. Recently, the project also added lending features, allowing users to mint agEUR by over-collateralizing their crypto assets.

The issuance of agEUR is approximately 42.83 million. Data shows that agEUR has performed well in terms of on-chain liquidity, with the combined liquidity on the two main DEXs exceeding 60% of the total.

Iron Bank EURO (ibEUR)

ibEUR is part of the Fixed Forex project, which was launched by a well-known developer last year. The total supply of ibEUR is 120 million, but the actual circulating supply is about 10.23 million.

Excluding the unused portions, over 80% of the circulating ibEUR is concentrated in the liquidity pools of two DEXs.

sEUR (SEUR)

sEUR is a synthetic euro asset on a certain synthetic asset platform. Users can mint sUSD by over-collateralizing platform tokens, and then use sUSD to exchange for various synthetic assets, including sEUR.

The platform data shows that the issuance of sEUR is approximately 7.8 million. On the Ethereum mainnet, about 62.6% of sEUR exists in two liquidity pools of a certain DEX.

Summary

Currently, the market size of the euro stablecoin is relatively small, but the prices of various stablecoins can remain near 1 euro. EURT leads with an issuance of 108 million, while EUROC is still in its early stages.

Decentralized stablecoins are more widely used in on-chain applications, primarily concentrated in a few major DEXs. Some stablecoins like agEUR and ibEUR can also be used for lending. In contrast, EURT and EURS are more commonly used in centralized exchanges.

As more institutions and projects enter the euro stablecoin market, this field may see faster development in the future.