In response to a Jan. 9 Medium submit, e-Cash — a stablecoin undertaking within the Cosmos ecosystem — will discontinue the issuance of its EURR euro stablecoin efficient March 6. In explaining the choice, e-Cash wrote:
“The dearth of real-world purposes for blockchain has led to low demand for non-USD stablecoins, and the upcoming European MiCA laws is anticipated to hinder the scalability of Euro-backed stablecoins and restrict enterprise alternatives within the sector. European MiCA laws in its present kind favours business banks as future issuers of Euro stablecoins, hurting innovation within the European Union.”
Till the deadline, customers can redeem their EEUR by swapping their stablecoins for digital property reminiscent of OSMO, ATOM (ATOM) or USD Coin (USDC) on the Cosmos decentralized alternate Osmosis. For quantities over 100,000 EEUR, e-Cash recommends direct redemption for euros with e-Cash A/S. “This requires KYC/AML and it is best to count on round 5 enterprise days for processing. Please contact gross sales@e-money.com to redeem utilizing this feature,” the agency wrote.
Vital Announcement: EEUR Stablecoin Unwind
e-Cash A/S has determined to stop issuance of its EUR backed stablecoin
➡️All stablecoins stay totally backed and may be redeemed. Learn our Medium submit & choose one of many listed redeem choices ⤵️https://t.co/1yneUFrD7U
— e-Cash (@emoney_com) January 9, 2023
E-Cash was based in 2017 on the Cosmos blockchain and launched its mainnet in early 2020. The corporate beforehand labored with the Monetary Providers Authority and Ernst & Younger to “develop a clear and compliant mannequin for stablecoins that might accommodate damaging rates of interest within the Euro-zone.” E-Cash initially started issuing EEUR stablecoins in 2020 utilizing Ethereum bridging know-how, later incorporating Cosmos and Axelar.
“The crypto business confronted many challenges in 2022, with each centralized and decentralized entities experiencing difficulties. Whereas e-Cash was in a roundabout way affected, the stablecoin enterprise depends closely on integration with conventional finance, and monetary establishments’ curiosity in cryptocurrency has waned following the occasions of 2022.”
