Tether, the issuer of the world’s largest stablecoin by market capitalization, will offer its tokenization technology to Malta-based stablecoin company.
On December 17, Tether, the issuer of the world’s largest stablecoin by market capitalization, announced that it is bolstering its presence in the stablecoin market in Europe by investing in Malta-based StablR.
The investment serves as a testament to Tether’s dedication to the European market and its endeavors to provide support for regulated stablecoins as they are introduced in the region.
StablR maintains two stablecoin initiatives: the StablR Euro (EURR), which is supported by the euro, and the StablR USD (USDR), which is pegged to the United States dollar.
Hadron, Tether’s tokenization platform, will be implemented by both tokens.
Stablecoins That Are Situated In Europe Constitute $370 Million Market
As Europe’s Markets in Crypto-Assets Regulation (MiCA) is scheduled to be fully implemented on December 30, the European stablecoin market has undergone numerous developments in recent months.
The Stasis Euro (EURS) and the Euro Coin (EURC) are the largest stablecoins, with a market cap of $130 million and $90 million, respectively, according to data from Crypto.com.
At the time of writing, the market for euro-based stablecoins was $367 million.
Paolo Ardoino, CEO of Tether, stated that the European stablecoin market is in the process of rapidly evolving and is expected to experience substantial additional development in accordance with broader trends.
“Tether is proud to support initiatives like StablR that align with our vision for fostering compliance, innovation, and accessibility in the European stablecoin market.”
StablR’s EURR Has Market Capitalization Of $3 Million
When Tether announced its investment in StablR, StablR’s euro-pegged EURR accounted for approximately 1% of the total market capitalization of all euro-based stablecoins.
According to CoinMarketCap data, StablR’s EURR has a total supply of 5.7 million euros ($5.9 million) and a market capitalization of $3.4 million.
At the time of writing, the US dollar stablecoin, USDR, of StablR was not accessible on crypto data platforms such as CoinGecko or CoinMarketCap.
The announcement stated that EURR and USDR can be transferred to any Ethereum or Solana wallet address using Hadron by Tether.
In 2023, Deribit Provided Financial Support To StablR In 3.3 Million Euro Round
StablR, which was established in 2023, secured 3.3 million euros ($3.4 million) in a seed round that included investors such as Deribit, a cryptocurrency derivatives exchange.
Additional pilot round investors included Blocktech, the blockchain patent technology firm, Theta Capital, the crypto-native fund Maven 11, and the quantitative trading firm Folkvang.
In July, StablR obtained a license to operate as an Electronic Money Institution, which allowed the company to launch a stablecoin that was completely compliant with the new EU stablecoin regulations.
Gijs op de Weegh, the founder and CEO of StablR, stated that the stablecoin firm has been “laser-focused on delivering unmatched compliance, liquidity, and flexibility for institutions and merchants.”
“With the support of these new investors, that’s exactly what we’re delivering. This is a new era for stablecoins, and StablR is very much at the helm.”
The news was announced shortly after Coinbase, a prominent global cryptocurrency exchange, delisted Tether’s USDt Stablecoin, citing MiCA regulations.
In November, Tether also announced the suspension of its euro-based stablecoin, EURt (EURT). EURT’s market capitalization was $27 million at the time of the announcement.
