USDC issuer Circle seeks regulatory approval in France amid US banking troubles

USD Coin (USDC) issuer Circle has applied to become a licensed Electronic Money Institution and a registered Digital Asset Service Provider (DASP) in France — expanding its operations in Europe.

In a March 21 statement, the stablecoin issuer added that registering with the authorities would allow its Euros-pegged stablecoin Euro Coin (EUROC) to become a compliant e-money under Europe’s Markets in Crypto-Assets (MiCA) regulations.

Circle said its application is subject to the Autorité de Contrôle Prudentiel et de Résolution (ACPR) and Autorité des Marchés Financiers (AMF). According to the crypto firm, approval from the AMF would make it the first company to receive full authorization under the DASP regulatory regime.

Speaking on the development, Circle CEO Jeremy Allaire said:

“The DASP registration provides an initial path to support sensible digital asset innovation. Further, we aspire to become one of the first companies to achieve full-authorisation under the reinforced PSAN licensing regime, and hope that our growth plans for the country will strengthen its position as a global hub for innovation.”

Circle’s flagship product USD Coin (USDC) came under increased scrutiny following its recent depeg. The stablecoin issuer revealed that it had exposure to the failed crypto-friendly bank Silicon Valley Bank.

Since then, USDC supply has tanked by roughly 15% in the last 30 days to $35.37 billion, according to CryptoSlate’s data.