EMBank Chairman Ekmel Çilingir Reviews Europe's Position in the Stablecoin Market

Ekmel Çilingir, Chairman of the Supervisory Board at European Merchant Bank (EMBank), has published a new article examining whether euro stablecoins can help protect Europe's monetary sovereignty as digital finance expands. In "Euro Stablecoins and the EU's Monetary Sovereignty", Çilingir looks at the dominance of US dollar stablecoins, the limited presence of euro denominated alternatives and the measures Europe may need to take if the euro is to remain widely used in digital payment and settlement systems.
Stablecoins were first developed to provide a less volatile means of transferring value within crypto markets. Their use has since widened to include cross border payments, digital commerce, treasury management, decentralised finance and the settlement of tokenised assets.

The article notes that this market is heavily concentrated in US dollar products. Çilingir estimates that the global stablecoin market had reached around USD 300 billion by mid 2026, while more than 99 per cent of its value was denominated in US dollars. Euro stablecoins accounted for less than EUR 1 billion.

"That is not merely a feature of the crypto market but the digital extension of the dollar's existing role in global finance," Çilingir writes.

He argues that the issue concerns the financial infrastructure being built around digital assets. When one currency becomes widely used in wallets, exchanges, payment applications, smart contracts and tokenised markets, businesses and developers have stronger incentives to continue using it.

"Liquidity attracts users, users attract developers, and developers build more products around the same currency," he writes.

According to Çilingir, this may increase Europe's dependence on dollar based instruments for digital commerce, treasury operations and cross border settlement. European firms could also find themselves using dollar liquidity when accessing tokenised markets, even where the underlying transaction is linked to Europe.

The article presents euro stablecoins as a potential commercial tool rather than only a defensive response to dollar dominance. Possible uses include continuous payment availability, faster international transfers, automated supplier payments, software based treasury rules and settlement for euro denominated digital securities.
"The opportunity is therefore not to launch a stablecoin for its own sake, but to make the euro functional in the next generation of financial infrastructure," Çilingir states.
The article also considers the effect of the Markets in Crypto Assets Regulation. MiCA provides common rules for stablecoin issuance, reserves, redemption, disclosure and supervision across the European Union. Çilingir recognises the importance of this framework but argues that regulation does not by itself create market demand.
"Europe may be ahead in regulation, but regulation is only the starting point," he writes.

Broader adoption, he says, will depend on factors such as liquidity, distribution, banking access, platform support and clear commercial uses. Banks and fintech firms are both expected to have a role, with banks providing payment access, custody and compliance capacity, and technology companies contributing product development and distribution.

Çilingir also argues that euro stablecoins and a future digital euro could serve different purposes. The digital euro would represent central bank money, while private stablecoins could be used across payment platforms, smart contracts and tokenised financial markets.

The article concludes that Europe's long term position will depend on whether euro based digital instruments move beyond regulation and into regular commercial use. "If Europe fails to build scale now, it risks becoming a rule maker in a financial system whose most important networks are denominated in someone else's currency," Çilingir writes.

Media Contact
Company Name: European Merchant Bank (EMBank)
Contact Person: Dilek Isik
Email: dilek.isik@em.bank
Country: Lithuania
Address: Pirkliu Klubas, Gedimino 35, 01119, Vilnius, Lithuania
Website: https://em.bank/

About Ekmel Çilingir
Ekmel Çilingir is the Chairman of the Supervisory Board at EMBank and an internationally recognised banking and fintech executive with extensive experience in payments, digital banking, financial innovation, and cross-border financial services.

About EMBank
EMBank, headquartered in Vilnius, Lithuania, is a digital-first bank focused on delivering innovative banking solutions to fintechs and Lithuanian businesses.

This release was published on openPR.