German bank launches EURB stablecoin on Stellar blockchain

One of the oldest European banks, Bankhaus von der Heydt (BVDH), announced the launch of a new EURB stablecoin on the Stellar network, the cost of which is tied to the euro.
According to representatives of BVDH, the EURB stablecoin was the first stable cryptocurrency issued by a banking institution. To issue the coin, the bank collaborated with Bitbond, an asset tokenization and custodial services company.
At the same time, the asset, according to the bank, is fully regulated. Therefore, there will be no free access to EURB trading on cryptocurrency exchanges due to user identification and regulatory requirements. In order to buy steeblockin, the client must make a deposit in an escrow account with BVDH Bank, which will start the process of issuing EURB coins.

Already, developers of financial applications can use stablecoins for quick calculations. At the same time, thanks to the Bitbond platform, full control over EURB remains with the bank, including the possibility of issuing and destroying coins.

“We are collaborating with Bitbond and Stellar due to the ease of release and management of assets released on the Stellar blockchain,” said BVDH Managing Director Philip Doppelhammer.

According to the top manager of the bank, the main goal in the release of E U R B was the use o f stablecoins for international payments by SatoshiPay customers. In addition, such a cryptocurrency may be interesting for other banks. Bitbond founder and CEO Radoslav Albrecht said:

“Banks are not very comfortable working with stablecoins like Tether or USDC, as there is a risk of interference from a third-party company. They prefer to work with stablecoins issued by banks. The same statement is true for institutional investors. “

In early December, Christine Lagarde, head of the European Central Bank (E C B), said that steablecones could threaten financial stability.