Europe is currently experimenting with the implementation of its MiCA regulatory framework, which came into effect at the beginning of the year. At the heart of this legislation is the issue of dollar-backed stablecoins. Paxos may well have the solution with its “global” version, USDG.
Paxos launches its USDG stablecoin in the European Union
No one really saw them coming. Yet stablecoins have been revolutionizing the monetary and financial sectors for several months now, with their fast payment options that are independent of any monetary determinism imposed by borders.
This reality has collided head-on with the recent implementation of the MiCA (Markets in Crypto-Assets) regulatory framework in the European Union. This is particularly true for the undisputed leader in the sector, Tether’s USDT, which is now persona non grata on exchanges in this jurisdiction.
Despite everything, these tensions are not preventing other crypto players from trying their luck with regulatory-compliant versions. This is the case, for example, with the specialist in this field, Paxos, which is determined to establish itself in this booming market.
This strategy is clearly focused on the European rollout of its dollar-backed stablecoin, USDG, which is presented as “global” and “fully regulated.”
As demand for stablecoins continues to grow rapidly, Paxos is incredibly proud to introduce USDG to the European market. (…) We are delighted to partner with some of the leading players in Europe to bring this leading compliance standard to more than 450 million consumers in the European Union.
Paxos
A project supported by many players
In fact, the USDG stablecoin has been in existence since November 2024. This long history has earned it the support of big names in the cryptocurrency ecosystem. Indeed, Paxos states in its press release that it is already available on the Kraken, SwissBorg, Gate, Coinmetro, Zodiaque Custody Orbital, Hercle, CoinsPaid, Bitwyre, and HiFi platforms. On the technical side, it is being rolled out on the Ethereum, Solana and Ink blockchains. But there is another important factor to consider. The USDG stablecoin is a full participant in the Global Dollar Network (GDN) program. This is an infrastructure initiative supported by crypto players such as Kraken, Robinhood and Anchorage, as well as around 20 financial and fintech companies, including, most recently, payment giant Mastercard. Its goal is to “accelerate the adoption of stablecoins around the world [with] a transparent and fair economic model that rewards partners for their contributions.”
Mastercard joins Paxos’ Global Dollar Network to shape the adoption of stablecoins, integrate USDG, USDC, PYUSD, and FIUSD into its network, and launch new capabilities via Mastercard Move and the Mastercard network.
Mastercard
The arrival of the USDG stablecoin on the European Union market will certainly reignite the European Central Bank’s (ECB) opposition to the rise of these private currencies, which it considers harmful to its digital euro. The only response to this situation is the regulatory compliance of the USDG ensured by Paxos.
