France backs euro stablecoins, urges banks to tokenize deposits

France's finance minister, Roland Lescure, has signaled a significant policy shift by calling for increased euro-denominated stablecoins and encouraging EU banks to explore tokenized deposits. This move supports Qivalis, a consortium of 12 European banks planning to launch a euro-pegged stablecoin in late 2026, aiming to challenge U.S. dominance in digital payments. Lescure expressed dissatisfaction with the current low volume of euro stablecoins compared to their dollar counterparts. This stance contrasts with previous French and EU concerns about stablecoins potentially undermining monetary sovereignty and leading to the privatization of money, indicating a more open approach to digital currency innovation within the bloc.