According to Reuters, French Finance Minister Roland Lescure emphasized the need for more euro-issued stablecoins on Friday. He also encouraged banks in the European Union to explore the concept of tokenized deposits.
This shift in stance is notable, given the French government's and its central bank's previous reservations about digital currencies. Lescure expressed support for Qivalis, a consortium of 12 European banks planning to launch a euro-pegged stablecoin in the second half of 2026. The goal is to counter the dominance of the US in digital payments. Lescure stated, "This is what we need, and this is what we want." He also urged banks to further investigate the launch of tokenized deposits.
The relatively low volume of euro-pegged stablecoins compared to dollar-pegged ones was deemed "unsatisfactory" by Lescure. In contrast to his predecessor Bruno Le Maire, who advocated for strict regulations against privately-issued fiat-pegged cryptocurrencies, Lescure's stance appears more open to the potential of digital currencies.
Le Maire had previously stated that such currencies had no place in Europe and posed a threat to national sovereignty. More recently, Bank of France Governor Francois Villeroy de Galhau warned of the potential risks of stablecoins and tokenized private money, citing the threat of privatization of money and loss of monetary sovereignty.