Membrane Finance has announced the launch of the Euro stablecoin, EUROe, on Solana. The reason for choosing the Solana network is its advantage of high performance and low fees. Not just EUROe, Membrane Finance has also made available an option for card payment on the blockchain. The Euro stablecoin is in compliance with MiCA, short for Markets in Crypto Assets. MiCA is scheduled to be implemented in 2024.
This works well for Solana as it officially becomes multi-currency with an SPL token that is backed by Euro and is in compliance with relevant laws of the land.
EUROe moving to Solana has enabled several use cases for the community. Holders of the native token can participate in the foreign exchange of currency, value storage of Euros, and making payments in the same currency. Call it an expansion for EUROe since it goes beyond the border of traditional financial infrastructure to be now hosted on blockchain.
It remains to be seen if any acknowledgment is dropped pertaining to Web3, for EUROe taking its baby steps on Solana’s blockchain comes out as a move in that direction.
EUROe is backed by bankruptcy-protected cash for a hundred percent of value, with 2% kept aside for CET1 equity capital that is in the institutions or banks of Europe. The basic requirement to hold EUROe is having a EUROe Account. The stablecoin is pegged in 1:1 with the capability of being used at over 40 million merchant locations.
The utility is mostly available on Wirex Application, which also enables holders to on and off-ramp to & from Solana.
Juha Viitala from Membrane Finance has expressed excitement about bringing the potential of EUROe to the community of Solana and the people of Europe. The Chief Executive Officer of Membrane Finance has said that the use cases will relate to payments along with a broader application in the NFT and DeFi industry. Juha has added that the GameFi application is another aspect that will benefit from this development.
Many dApps have started accepting EUROe on their platforms. Some of them are Orca and Raydium Protocol. The purpose here is to boost investment and decentralized trading right from the moment Membrane Finance introduced EUROe on Solana.
Moreover, it gives them a certain advantage of being the first-mover. Meaning that the faster they inculcate EUROe on their platform, the better the chances of them having more users creating a buzz themselves. This ignites the scope of onboarding new users faster than those dApps, which tend to take time to conclude the integration.
The said decentralized applications, among others, have been able to leverage the opportunity from day zero.
Developers benefit from EUROe going live on Solana as well. They can use the EUROe Account API to make a movement of the currency between different blockchains, provided they are supported by the system. This refers to the traditional financial system and blockchain mechanism. Businesses can replicate the movement of EUROe among blockchains and traditional financial systems as well.