As Europe moves towards comprehensive cryptocurrency regulation, Dutch fintech firm Quantoz has announced the launch of stablecoins EURQ and USDQ, pegged to the euro and the US dollar.
Backed by Kraken, Tether, and Fabric Ventures, Quantoz has taken a significant step toward meeting the growing demand for regulatory-compliant digital assets in the European stablecoin market and aims to increase its share in the space.
The stablecoins launched by Quantoz will be traded on the Ethereum blockchain and will be fully backed by liquid financial instruments such as fiat reserves and government bonds.
The firm holds an Electronic Money Institution (EMI) license from the Dutch Central Bank and is authorized to comply with the EU’s Markets in Crypto Assets (MiCA) regulations, which gives Quantoz a significant advantage in operating in the European market.
As of Thursday, stablecoins EURQ and USDQ will begin trading on major crypto exchanges Bitfinex and Kraken, with eligible users able to trade the tokens.
The launch comes at a critical turning point for Europe’s $180 billion stablecoin ecosystem. The MiCA regulations will come into full force by the end of 2024, ushering in a period in which stablecoin issuers will have to meet strict compliance standards or risk being delisted from European exchanges.
Quantoz Payments CEO Arnoud Star Busmann noted that there is a gap in the stablecoin market in Europe and they see this as a big opportunity. He also said, “We are confident that our technology and regulatory compliance put us in a solid position, especially with strong partners like Kraken and Tether.”