The regulated digital asset subsidiary of French multinational bank Societe Generale, SG-Forge, has officially launched a euro-denominated stablecoin called EURCV on the Ethereum blockchain. The token, targeting institutional investors, has a maximum supply of 10 million EURCV and currently has only one holder, with just two transactions recorded since its creation on April 7.
Institutional Ambitions and CEO Remarks
In the announcement, Jean-Marc Stenger, CEO of SG-Forge, stated: “Digital assets with stabilization mechanisms – i.e. stablecoins – built under a robust banking-grade structure will be a key element to increase trust and confidence in the native crypto ecosystem.” He added that the issuance is a major step in delivering innovative solutions to clients ranging from real-money institutions to crypto-native entities, and to facilitate new blockchain-based market infrastructures.
Smart Contract Vulnerabilities Raise Eyebrows
Soon after the launch, the EURCV smart contract came under scrutiny. Web3 security firm Gopluslabs flagged a “risky item” in the contract, noting that the contract owner has the authority to modify the balance of tokens at other addresses, which could result in asset loss. It also highlighted a whitelist function that may prevent some addresses from trading normally. Blockchain engineer Cygaar questioned the rationale behind issuing an ERC20 token: “What’s the point of making this an ERC20? They’d be much better off using Onyx (JPM’s internal system) or some internal database since they’re looking for a centralized settlement layer. An ERC20 token does not fit their use case.”
The controversy underscores the tension between traditional finance’s compliance requirements and crypto’s ethos of permissionless decentralization. While SG-Forge maintains that EURCV meets rigorous banking, legal, and regulatory standards, critics argue that excessive admin control contradicts the trustless nature of blockchain. With existing euro stablecoins like EURC (Circle) and EURT (Tether) already in the market, EURCV represents a new chapter where traditional banks directly issue their own stablecoins. The industry now watches to see whether such institutional-grade tokens can bridge the gap between centralized finance and decentralized ecosystems.