RFC: Implementation of EUROC stablecoin

Hi Centrifuge Community,

I want to request comments on proposed implementation of EUROC (EURO stable coin) as soon as possible. I believe the crypto market changed significantly and liquidity providers (and perhaps also AO’s from Europe) would like to minimize their FX-risk.

Recently Circle announced the launch of EUROC, refer to: Euro Coin (EUROC) I A Euro-Backed Stablecoin

It would benefit Centrifuge in multiple ways:

  • Attract more Liquidity providers: In current crypto landscape, liquidity providers are risk-averse and seek investment opportunities alike. By eliminating the FX-risk for EU-based liquidity providers, this may open up possibilities to attract more liquidity to the Tinlake Pools.
  • Attract more AO’s: Same reasoning as for the liquidity providers. If Centrifuge takes the ‘first mover advantage’ it may attract the interest of EU-based AO’s and hence opens up possibilities for increasing the protocol’s TVL.

The proposal is to:
Ask the Centrifuge developers team to actively investigate opportunities to implement EUROC as soon as possible in Tinlake Pools (and/or RWAmarket.io).

I’m happy to see any comments on the above :slight_smile:

Regards,
Roy

5 Likes

Hi @RoyCrypto11,

Thank you for your proposal - and for following the correct procedure for creating one :+1:

I support your idea and also believe it would be a great addition to have a EURO stable coin as a way to invest in pools.

Personally, I also think that there are other areas where the team should put their focus right now, such as:

  • Getting the pools up and running on Altair first to test the functionality
  • Afterwards launch the pools Centrifuge
  • Optimizing the POP process for onboarding new issuers

All of the above are crucial prerequisites for an implementation of a EURO stable coin. Given that there is not unlimited manpower, I am personally of the opinion that the focus should be on the aforementioned areas to ensure a strong foundation for the protocol in the future.

Once things have run smoothly for a while, I believe it would be a good idea to look into other possibilities to increase TVL and attract more investors - and I will support a proposal for an implementation of a EURO stable coin.

3 Likes

Hi Roy.

I in principle support the idea to use the EUROC stable coin - as an equivalent to the USDC stable coin - for investors from the Euro zone.
Although I don’t like the concept that each EURO is held “in euro-denominated banking accounts” as stated on their website because this is a centralized solution where banks are in custody of the underlying assets. Any more information where exactly these bank accounts are located?

Hopefully fully decentralized stable coins will emerge soon :wink:

3 Likes

I guess the tech resources are not unlimited for the team. it would be interesting to see implementation of aUSD stablecoin first

Stay tuned… :wink:

1 Like