The competition to bring euro stablecoins to DeFi is heating up.
Lending protocol C.R.E.A.M. Finance said it will make EURt, Tether’s euro-pegged stablecoin, available in its money markets to borrow and lend.
At $62.28B according to its transparency page, Tether issues the largest supply of dollar-pegged stablecoins, USDT, and is looking to reproduce its success with a euro-pegged asset. The company has issued just over 40M EURt, worth roughly $47.18M at current conversion rates.
“We see a huge pent up demand for euro based stablecoins in the DeFi space,” said Paolo Ardoino, CTO at Tether Operations Limited in a press release Wednesday.
The C.R.E.A.M protocol is known for accepting a larger number of assets in its money markets compared to other lending protocols like Aave and Compound Finance — the move is par for the course for the more experimental protocol.
“We believe that C.R.E.A.M. Finance can further DeFi’s growth into the Euro-denominated market as a launch partner in EURt,” said Leo Cheng, co-Founder and project lead at C.R.E.A.M. in the release.
EURt’s main competition is euro-pegged stablecoin issuer Euro Stasis which has issued 88.63M of its euro-pegged EURS token and also Synthetix, whose protocol has minted 119.05M of the synthetic sEUR according to CoinGecko.
Still, with all euro-pegged stablecoins combined at only $265M, according to CoinGecko, the race to be the leading issuer is anyone’s game. That figure is more than 400 times smaller than the current, $113.16B dollar-pegged stablecoin supply as reported by CoinGecko.
While the gap between dollar-pegged and euro-pegged cryptos is huge, total market capitalization of dollars in circulation is only about 23% higher than that of euros, according to fiatmarketcap.com, signaling a major opportunity for euro stablecoin issuers.