Stablecoin-based finance company Schuman Financial has integrated its EURØP coin onto Ripple's XRP Ledger

This marks a major step toward bringing compliant euro-denominated stablecoins into active use on one of the world's most widely used blockchains

Stablecoin-based finance company Schuman Financial has integrated its EURØP coin onto Ripple’s XRP Ledger.

"This marks a major step toward bringing compliant euro-denominated stablecoins into active use on one of the world’s most widely used blockchains," Ripple said in a Thursday (May 22) news release, noting that EURØP complies with the European Union’s Markets in Crypto-Assets (MiCA) regulation.

Martin Bruncko, founder and CEO of Schuman Financial, said the addition of EURØP to the XRPL combines the resilience of a global blockchain “with euro-native liquidity and compliance at its core.”

“This will give Europe and euro-denominated financial markets an integral infrastructure for the next wave of financial innovation, which is happening on-chain.”

The release adds that the integration brings a euro-native settlement asset to XRPL, “an institution-ready Layer 1 blockchain.”

In the last decade, XRPL has processed more than 3.3 billion transactions, supporting upwards of 6 million active wallets with a network of 200-plus validators, “making XRPL an ideal environment for stablecoins like EURØP,” Ripple said.

According to the release, EURØP will allow for things like DeFi applications, tokenized real-world assets (RWAs) and B2B and B2C payment flows.

The new integration comes as stablecoins “are being held as more than a cryptocurrency curiosity,” as PYMNTS wrote last week. For example, Mastercard recently kicked off a stablecoin-focused partnership with crypto payments FinTech MoonPay.

However, the full potential of the fiat-pegged digital asset class remains constrained by limited on-and off-ramp infrastructure and insufficient acceptance among merchants and consumers, that report added. There’s also the regulatory elephant in the room in the United States.

Stablecoins can offer some attractive benefits, especially in cross-border and emerging market transactions, the report said. The coins meld the reliability of traditional money with the speed and efficiency of blockchain rails. But as with all powerful tools, stablecoins’ value depends on the system of which they are a part.

That could require legitimate institutions to construct the rails, push for acceptance, align with regulations and integrate with legacy systems, PYMNTS wrote.

On paper, stablecoins might seem like the perfect bridge between two financial worlds. Citi Institute’s Future of Finance think tank estimated the stablecoin market could reach at least $1.6 trillion by 2030, assuming continued regulatory support and institutional integration.

In practice, however, stablecoins can be stuck in a transactional limbo where they are underused and misunderstood, PYMNTS wrote. The key to unlocking their full potential could lie in partnerships for seamless fiat on- and off-ramps, as well as widespread acceptance from merchants and consumers.