EUR Stablecoins in 2026: How They Work, Risks, Yield & USD Comparison

If you live in Europe and get paid in EUR, crypto can feel unnecessarily dollar-centric. You open an app and see USDC, USDT, and other USD-quoted prices everywhere.

It’s normal to ask: why am I converting my euros into a dollar stablecoin and then back again just to move value onchain?

And yes, it’s fair to wonder whether that roundtrip quietly exposes you to FX costs you didn’t sign up for.

The good news: EUR-pegged stablecoins exist. They’re built to represent euro value on blockchains. They’re just smaller and less liquid than their USD peers.

Let’s break down what they are, why they’re hard to find, how they work, and what you need to know if you’re a KAST user.

What Is a EUR-Pegged Stablecoin?

A EUR-pegged stablecoin is a crypto token designed to maintain a price close to 1 euro per token. That’s the goal. It represents euro value inside a blockchain system. It’s not the legal euro, and the peg can move depending on market conditions.

When you hear “pegged,” it means the stablecoin is intended to stay around €1. In reality, markets are messy, and prices can drift slightly above or below.

The European Central Bank notes that euro stablecoins have shown more frequent and wider price deviations than large USD stablecoins in past observations. That’s mostly a liquidity issue, not a broken design.

Why EUR Stablecoins Feel Hard to Find

Euro stablecoins are real, but the ecosystem makes them less visible.

Exchanges and Decentralized Exchanges (DEX) usually list USD pairs first.

Liquidity clusters around USDC and USDT because that’s where most of the trading happens.

Banks and payment rails still operate on traditional timing and rules that don’t always align neatly with crypto markets.

So if you keep seeing dollar quotes and dollar stablecoins, it’s because that’s how the market actually runs, not because euro equivalents don’t exist.

The Most Used EUR Stablecoins in 2026

The euro stablecoin market is still small compared to USD stablecoins, but it’s becoming more structured and more regulated.

If you’re looking at serious EUR-denominated stablecoins today, these are the main names:

EURI (Eurite)

EURI is a euro-denominated stablecoin designed to be fully backed by euro reserves. For every token issued, an equivalent amount of euro-denominated assets is held in reserve.

EURI positions itself as infrastructure-ready euro liquidity for digital asset markets.

EURC (Circle Euro Coin)

EURC is issued by Circle, the same company behind USDC. It is structured as a fully reserved, euro-backed stablecoin with reserves held in euro cash and short-term euro government instruments.

Because it mirrors USDC’s structure, EURC benefits from Circle’s compliance framework and integrations. Liquidity is growing, but it’s still nowhere near USDC’s scale. As of February 2026, EURC is issued on six chains.”

EURS (Stasis Euro)

EURS is one of the earlier euro stablecoins. It is fiat-backed, with reserves held in euro-denominated assets and supported by attestations.

Historically, EURS has experienced periods of slight depegging during thin liquidity conditions. That’s less about failure and more about smaller euro order books compared to USD markets.

EURCV (Societe Generale CoinVertible)

EURCV is issued by Societe Generale-Forge, the digital asset arm of Societe Generale. It represents a more institutional version of a euro stablecoin.

EURCV is fully collateralized with euro reserves and issued within a regulated banking framework. It is primarily designed for institutional and professional participants rather than retail users.

These four represent the more structured segment of the EUR stablecoin market in 2026.

How EUR Stablecoins Maintain Their Peg

All four stablecoins above follow a fiat-backed reserve model.

That means the peg mechanism is not algorithmic and not crypto-collateralized. It relies on traditional financial assets held against issued tokens.

Here’s how it works:

When euros are deposited with the issuer, new tokens are minted.

When tokens are redeemed, they are burned and euros are returned.

The peg’s stability depends on three factors:

1. The quality and liquidity of the reserves
2. Transparency and attestations
3. The efficiency of the redemption process

Let’s look at each token.

EURI

EURI maintains its peg through full euro reserve backing. The issuer holds euro-denominated assets equal to the circulating supply. If EURI trades below €1, participants can buy tokens and redeem them for €1, pushing the price back toward parity.

EURC

EURC follows Circle’s established model. Reserves consist of euro cash and short-term euro government instruments. Transparency reporting supports the peg, and mint-and-redeem arbitrage keeps price aligned.

EURS

EURS uses fiat reserves held in euro-denominated assets. The peg is maintained through redemption rights and reserve backing. Price deviations can appear during thin liquidity, even if reserves remain intact.

EURCV

EURCV is fully collateralized with euro reserves and operates within a regulated banking structure. Its peg relies on formal redemption mechanisms and regulatory oversight, rather than purely retail arbitrage.

These are not experimental models. They are tokenized euro claims backed by traditional assets.

That doesn’t remove risk. It makes the structure easier to understand.

All aim for 1 EUR per token and rely on reserves.

Where they differ is liquidity and accessibility.

Where EUR Stablecoin Regulation Stands in 2026

Euro stablecoins operate under MiCA (Markets in Crypto-Assets Regulation).

The ECB’s 2025 Financial Stability Review highlights that euro-denominated stablecoins remain a small share of the overall stablecoin market, which is still dominated by USD-linked tokens. However, MiCA introduces stricter reserve, governance, and transparency requirements for issuers operating in the EU.

MiCA includes:

• Mandatory reserve backing requirements
• Disclosure and reporting obligations
• Oversight for significant asset-referenced tokens
• Capital and governance standards for issuers

The ECB emphasizes that stablecoins should not be considered risk-free assets and remain subject to liquidity, redemption, and confidence risks.

Regulation reduces uncertainty. It does not remove market dynamics.

Can EUR Stablecoins Gain Yield?

Under EU MiCA regulations effective in 2026, direct interest payments from stablecoin issuers are restricted, meaning yield must be generated through DeFi or other investment vehicles, not the token itself.

Some people try to seek yield by using third-party products such as DeFi lending protocols. In that model, users supply stablecoins to a lending pool, and borrowers pay interest to access that liquidity.

Rates can change quickly based on supply and demand. This is not risk-free. DeFi lending can involve smart contract risk, protocol risk, and liquidity risk. Even if the stablecoin price stays close to €1, you can still lose funds due to how the protocol operates.

On Aave, users deposit stablecoins into lending pools, and borrowers pay interest to access that liquidity. That interest becomes the yield for suppliers. For euro stablecoins like EURC, supply APYs have typically ranged around 3% to 4%, depending on utilization and demand.

Rates move constantly. When borrowing demand rises, yields increase. When liquidity is abundant, yields fall.

The token targets price stability. The yield comes from lending activity, which carries protocol and smart contract risk.

What Can Go Wrong

No stablecoin is immune to risk.

Peg Drift

Price can deviate from €1. On thin order books, even small trades can move price.

Issuer and Reserve Risk

You rely on reserves existing and being managed properly.

Liquidity Risk

Smaller markets mean wider spreads and more slippage.

Operational Risk

Send tokens to the wrong address or network, and funds can be lost.

Regulatory Risk

Rules can change how stablecoins are issued, used, or accessed.

EUR vs USD Stablecoins

If your goal is simply to move value or pay someone, here’s the practical difference:

USD Stablecoins (USDC, USDT)

• Deeper liquidity
• Wider exchange and platform support
• Tighter spreads

But if your goal is euro value, you carry EUR/USD exposure when converting back.

EUR Stablecoins (EURI, EURC, EURS, EURCV)

• Native euro value onchain
• Fewer FX layers if you truly want euro exposure

Trade-offs include smaller liquidity and fewer integrations compared to USD stablecoins.

Most people default to USD stablecoins because they’re easier to trade. That doesn’t mean they’re always the cleanest option for euro users.

KAST and EUR Stablecoins

As of February 2026, KAST does not natively support any EUR stablecoin as a listed funding asset. Your balance is treated in USD terms.

Deposits of supported stablecoins are converted to USD at a 1:1 rate with 0% spread under standard conditions when credited to your KAST account.

If you deposit euros, they are converted into USD value behind the scenes. That means you take on FX exposure if your goal was to remain in euro value.

On top of that, KAST applies foreign exchange fees on non-USD card transactions. According to KAST’s fee schedule, FX conversion fees typically range between 0.5% and 1.75%, depending on your region and transaction type.

There are no card fees on USD spending itself, but non-USD currency conversion costs still apply.

The fees are shown in the app before you confirm. You stay in control.

Final Thoughts

You don’t need to become an FX expert just to use blockchains.

EUR-pegged stablecoins exist so you can move euro value onchain without automatically stepping into dollar exposure.

They’re smaller than USD stablecoins, yes. But they’re real, regulated, and increasingly structured.

If you want to minimize unnecessary conversions:

• Choose a euro stablecoin with clear backing
• Check liquidity where you trade it
• Know how you plan to enter and exit

That’s it.

You move your money. You understand the layers. And you decide what exposure you’re comfortable with.

👉 Get KAST Now!