SocGen doubles down on stablecoins with USD launch and BNY custody

Societe Generale-FORGE (SG-FORGE), the cryptocurrency division of the French banking powerhouse Societe Generale, has officially unveiled its latest offering— the USD CoinVertible (USDCV), a U.S. dollar-pegged stablecoin designed to operate on both the Ethereum and Solana public blockchains.

This launch represents SG-FORGE’s second venture into the realm of stablecoins, following the successful introduction of the EUR CoinVertible (EURCV) in April 2023. Like its euro-based counterpart, the USDCV adheres to the European Union’s Markets in Crypto-Assets (MiCA) regulatory framework and is categorized as an Electronic Money Token (EMT). Furthermore, SG-FORGE holds a license as an Electronic Money Institution (EMI) by the French Prudential Supervision and Resolution Authority (ACPR).

Prominent global custodian bank, BNY Mellon, has been entrusted with the role of reserve custodian for USDCV. BNY Mellon will safeguard the collateral reserves for the stablecoin, which consists of high-quality, liquid assets that meet stringent eligibility requirements. In compliance with MiCA regulations aimed at fostering transparency, the value and asset composition of the reserves will be disclosed daily on SG-FORGE’s website.

Commenting on the launch, Jean-Marc Stenger, CEO of SG-FORGE, stated, “The introduction of a U.S. dollar equivalent was a logical progression for us, especially as the adoption of stablecoins accelerates. This new stablecoin will allow our clients— whether they be institutions, corporations, or individual investors— to take advantage of the numerous benefits associated with an institutional-grade stablecoin.”

The USD CoinVertible will be accessible to institutional, corporate, and retail clients around the globe, with the exception of U.S. persons, via an array of crypto brokers and payment service providers. Market makers will ensure liquidity for the stablecoin, with trading activities anticipated to commence in early July 2025. SG-FORGE is poised to facilitate 24/7 conversions between fiat currencies and stablecoins for both USD and EUR.

The USD CoinVertible aims to cater to a variety of financial use cases, including digital asset trading, on-chain foreign exchange, cross-border transactions, settlement, as well as cash and collateral management. Its deployment on both Ethereum and Solana underscores SG-FORGE’s commitment to tapping into scalable and interoperable blockchain technologies.

BNY Mellon highlighted the strategic significance of this initiative amid the fast-evolving landscape of digital finance. According to Carolyn Weinberg, Chief Product & Innovation Officer at BNY, “Stablecoins that operate 24/7 are driving significant transformations in the financial sector. They not only enhance resiliency and operational efficiency but also pave the way for new opportunities for corporations and investors alike.”

This initiative firmly positions SG-FORGE and BNY Mellon at the cutting edge of regulated stablecoin issuance, highlighting the increasing convergence between traditional financial systems and public blockchain infrastructure.