Europe is undergoing a major transformation in the stablecoin market. With the MiCA regulation set to take effect in June 2024, non-compliant stablecoins will be removed from European platforms. Tether (USDt), the industry leader, is particularly at risk.
Amid this regulatory shift, XMoney, built on the MultiversX blockchain, is positioning itself as a serious alternative by launching three fully regulated stablecoins. This move could reshape the digital payments landscape across Europe.
MiCA: The End of Unregulated Stablecoins
The MiCA (Markets in Crypto-Assets) framework aims to bring transparency, security, and legal clarity to the European stablecoin market. As of June 30, 2024, only stablecoins meeting MiCA’s strict regulatory requirements will be permitted on exchanges and payment platforms operating in the EU.
This change is already impacting the market. Some platforms have begun delisting USDt to comply with the new regulations.
“Any stablecoin that does not comply with MiCA must be removed,” says Dr. Gregorios Siourounis, CEO of XMoney. “Exchanges and payment providers don’t want to take risks with non-compliant assets.”
XMoney’s Regulated Stablecoins Built on MultiversX
To address this shift, XMoney is launching three fully MiCA-compliant stablecoins:
- EUROX – A stablecoin pegged to the euro, designed for European transactions
- USDX – A regulated alternative to USDt and USDC
- RONX – A stablecoin tied to the Romanian leu, targeting the local market
Unlike stablecoins that have operated in a regulatory gray area, these assets will feature full transparency and a clear legal framework approved by European regulators.
XMoney is building this infrastructure on MultiversX, a high-performance blockchain known for its scalability and speed. This technology enables fast, secure, and low-cost transactions, making stablecoins more viable for mainstream adoption.
“We are working with the National Bank of Romania to ensure widespread adoption of MiCA-compliant stablecoins,” Dr. Siourounis adds.
The Key Role of $UTK in the XMoney Ecosystem
At the heart of XMoney’s model is the UTK token (Utrust Token). This token plays a crucial role in reducing transaction fees, rewarding users, and facilitating payments within the ecosystem.
Through UTK, stablecoin payments become more attractive for merchants and users, offering:
- Ultra-low transaction costs, far below traditional payment networks
- Instant settlement, eliminating banking delays
- Global accessibility, bypassing intermediaries
The Rise of Euro-Pegged Stablecoins?
Until now, USD-pegged stablecoins have dominated the European market. Businesses and users preferred these assets due to their liquidity and integration in global trade.
However, MiCA could change that dynamic. By favoring euro-backed stablecoins, the regulation could fuel a shift in adoption patterns.
“Merchants and businesses will quickly realize the benefits of euro stablecoins,” says Dr. Siourounis.
The key advantages include:
- Lower fees than credit card transactions (1.8% vs. a fraction of a cent)
- Instant settlement, with no banking delays
- Enhanced security, thanks to full blockchain transparency
These benefits could drive stablecoin adoption in e-commerce, payroll payments, and cross-border transactions.
A New Era for Digital Finance
With MiCA coming into force, Europe is setting strict new rules that could reshape the future of stablecoin payments. By offering regulated and secure solutions on MultiversX, XMoney is positioning itself as a key player in this transformation.
Backed by a structured ecosystem of MiCA-compliant stablecoins and the $UTK token, XMoney aims to provide a credible alternative to traditional payment systems.
The digital payments landscape is evolving rapidly. Those who adapt quickly will be the winners in this new era.