French Finance Minister Roland Lescure has urged the rapid development of euro-backed stablecoins and called on banks across the European Union to take new steps toward issuing tokenized deposits. His remarks came on Friday, according to reporting by Reuters.
European banks eye joint euro stablecoin
In a shift from the European Central Bank’s and Bank of France’s traditionally conservative stance, Lescure openly declared his support for a banking alliance called Qivalis. This consortium brings together 12 major European banks, including BBVA, ING, UniCredit, and BNP Paribas, with a shared goal: to create a euro-pegged stablecoin that can help balance the dominance of the US in digital payments.
The euro-backed stablecoin project is slated for launch in the second half of 2026. By cooperating, European banks aim to take a more active role in payment systems through digital euro-based products.
Ministry pushes for tokenized deposits
Lescure also drew attention to the influence of stablecoins in global markets. He emphasized that there are far fewer euro-denominated stablecoins compared to dollar-based ones, which he described as a shortcoming. In a clear appeal to the banking sector, he called for increased focus on developing tokenized deposit products as a way to strengthen digital payments.
Lescure described this direction as “exactly what we need and what we aim to achieve,” and encouraged banks to step up their efforts to expand tokenized deposit offerings.
Tokenized deposits involve digitizing traditional bank deposits, which can lead to faster and more transparent transactions. Lescure’s recommendations highlight the need to balance regulatory oversight with technological innovation across the financial sector.
France signals softer stance on stablecoins
France’s government and central bank have approached stablecoins cautiously for years. Former Finance Minister Bruno Le Maire once claimed privatized, fiat-linked cryptocurrencies “have no place on European soil” and posed a “threat to national sovereignty”. In 2023, the European Commission began drafting policies to restrict the widespread adoption of stablecoins.
However, recent official statements suggest France may be reconsidering its position. Observers believe Lescure’s comments could mark a turning point in Paris’s policy toward stablecoins.
Concerns persist over the political risks of privately issued tokenized money. Banque de France Governor Francois Villeroy de Galhau reiterated his fears last month during a live debate with Coinbase CEO Brian Armstrong, warning that stablecoins and privatized tokenized currencies could lead to “the privatization of money and the loss of control over monetary policy”.
Ultimately, the finance minister’s latest call may pave the way for innovative solutions, driving greater competitiveness and accelerating the digital transformation of Europe’s financial sector.
