Sabadell joins the Qivalis consortium to launch a euro-pegged stablecoin, aiming to challenge the $189B dominance of USDT and secure European digital assets.
Banco Sabadell has formally joined the Qivalis consortium, a European banking initiative aimed at launching a regulated, euro-pegged stablecoin. The move, announced by outgoing CEO Cesar Gonzalez-Bueno, signals a shift in European banking strategy as institutions abandon fragmented, standalone digital asset projects in favor of a unified, cross-border infrastructure. Bankinter is currently in advanced negotiations to join the group, with additional interest reported from unlisted Spanish entities including Abanca, Kutxabank, and Cecabank.
The Qivalis consortium, incorporated in Amsterdam in December 2025, represents a concerted effort to address the structural imbalance in the digital asset market. While the euro accounts for approximately 20% to 25% of global fiat financial flows, it currently represents only 0.2% of global stablecoin volume. The dominance of dollar-pegged assets, specifically USDT with a market cap of roughly $189 billion and USDC at approximately $78 billion, has left European financial institutions concerned about long-term digital sovereignty. By pooling resources, the twelve existing members—including BBVA and ING—aim to provide a MiCA-compliant alternative that can compete with the deep liquidity of dollar-denominated tokens.
The consortium is currently navigating the licensing process with the Dutch central bank, seeking an Electronic Money Institution (EMI) designation under the Markets in Crypto-Assets (MiCA) framework. This regulatory approval is projected to take between six and nine months. To ensure stability and trust, the Qivalis token will maintain a 1:1 reserve ratio, with at least 40% of assets held in bank deposits and the remainder allocated to high-quality, short-term euro-area sovereign bonds. The inclusion of 24/7 redemption capabilities is intended to mirror the functionality of existing dollar stablecoins while adhering to European banking standards.
Technical execution will be managed by Fireblocks, which was confirmed last month as the provider for the consortium’s token issuance infrastructure. The leadership team is positioned to bridge traditional finance and crypto-native operations, with former Coinbase Germany CEO Jan-Oliver Sell serving as CEO of Qivalis. Sir Howard Davies, formerly of the NatWest Group and the FSA, chairs the supervisory board. This combination of traditional banking oversight and specialized digital asset infrastructure is designed to mitigate the operational risks that previously led institutions like BBVA to abandon their own proprietary stablecoin development efforts.
Currently, the euro-denominated stablecoin market is fragmented and lacks significant depth. Circle’s EURC operates in the low-to-mid $400 million range, while Société Générale’s EURCV holds approximately $124 million. These figures pale in comparison to the multi-billion dollar liquidity pools of dollar-backed assets. The Qivalis project effectively serves as a multi-year bridge, as the European Central Bank’s digital euro is not anticipated to launch before 2029. This creates a strategic window for the consortium to establish the primary euro-denominated standard for on-chain transactions.
The decision by Sabadell and the pending entry of Bankinter highlight a broader trend: the realization that individual bank-issued tokens lack the network effects required to challenge dollar dominance. By consolidating under the Qivalis umbrella, these banks are effectively outsourcing the regulatory and technical burden of stablecoin issuance. This allows them to focus on integrating the token into their existing retail and institutional payment rails. For investors, the success of this project hinges on the consortium's ability to achieve sufficient liquidity to make the euro-pegged token a viable alternative for cross-border settlements. If the consortium fails to secure widespread adoption before the ECB launches its own digital currency, the utility of the Qivalis token could be significantly diminished. Conversely, if the EMI license is granted on schedule and the technical rollout proves seamless, the consortium could capture a significant portion of the European digital payment market, providing a necessary hedge against the current reliance on dollar-based liquidity. The primary risk remains the potential for regulatory friction during the MiCA approval process, which could delay the go-to-market timeline and allow dollar-based competitors to further entrench their market position.
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