Why Use Euro Stablecoins Instead of Regular Crypto?

[cryptobro]

Q: Why would someone use a euro stablecoin?
A: Euro stablecoins reduce volatility compared to assets like Bitcoin, making them useful for payments, trading, and storing value without large price swings.

Q: Who benefits the most?
A: Traders, businesses, and users in Europe benefit the most, as they can transact in a euro-denominated digital asset without converting to other currencies like USD-based stablecoins.

[cryptoenthusiast]

why use euro stablecoins when you can just use euros, revolutionary concept

[Revenant]

euro best

[Olaf]

@cryptoenthusiast said in Why Use Euro Stablecoins Instead of Regular Crypto?:

why use euro stablecoins when you can just use euros, revolutionary concept

Why use euro stablecoins when you can simply use euros? That's a good question—at first glance, it does seem like a "no-brainer." But euro-pegged stablecoins make sense in certain contexts, primarily those related to blockchain technology and digital finance.

1. Fast and global transactions Euro stablecoins (e.g., EURC, EURe) run on the blockchain, so they can be transferred: 24/7 (no weekends or holidays) globally, without intermediary banks often cheaper than international transfers (e.g., SWIFT)

Traditional euros at a bank don't offer this—especially when transferring between countries.
2. DeFi Integration Stablecoins are the foundation of the world of Decentralized Finance: They can be lent, deposited, and used as collateral They operate in smart contracts They enable trade without intermediaries
The regular euro does not work natively in these systems.
3. Programmability Stablecoins can be "programmed": automatic payments escrow without a trusted third party conditional settlements This is something the traditional euro (apart from limited bank APIs) does not offer.
4. Access without a bank A crypto wallet (e.g., MetaMask) is enough: no bank account required no institutional approvals required access for financially disadvantaged individuals
5. Ease of cryptocurrency trading On crypto exchanges: Euro stablecoins allow you to "park" value without going to the bank fast transfers between assets

[Olaf]

Point five is useful for traders in various countries where the tax authorities want to tax crypto but aren't sure how to approach it. Therefore, for example, they tax crypto-to-fiat transactions, but not crypto-to-crypto. This means that if someone isn't a hodler but is just scalping, they can have a lot of small transactions every day. Therefore, stablecoins serve as a safe haven, so they don't have to convert crypto into fiat and be subject to excessive taxation.