Cosmos-based e-Money discontinues euro-backed stablecoin

Quick Take

  • e-Money is unwinding its euro-backed stablecoin EEUR.
  • The Cosmos-based project blamed the current crypto bear market for its decision.

Cosmos-based electronic payment system e-Money has stopped issuing its euro-backed stablecoin EEUR citing bear market conditions.

e-Money stated that it will honor EEUR stablecoin redemptions until Mar. 6. Customers with funds below 100,000 EEUR can unwind their positions by swapping their tokens directly in the stablecoin market on Osmosis, the largest decentralized exchange on Cosmos. They can exchange their tokens for USDC or Cosmos-native assets like atom and osmo. e-Money advised users to unwind their positions in small batches to reduce market congestion and price slippage.

Customers who wish to redeem amounts larger than 100,000 EEUR can do so directly for euros, the announcement added. These users will have to pass through customer identification checks and the process will take up to five business days.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

e-Money stated that unwinding its stablecoin project was a difficult decision. “Given the current market conditions, that effort has unfortunately reached a stage where it is prudent and responsible to wind it down,” the project stated.

Despite unwinding its EEUR stablecoin, e-Money stated that its blockchain project will continue to operate. The project has plans for a chain upgrade within the first quarter of the year, which will integrate the latest Cosmos features.


© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

About Author

Osato is a news reporter at The Block as part of the crypto ecosystems team that focuses on DAO governance, staking, blockchain layers, and DeFi. He was previously a news reporter at Cointelegraph. Based in Lagos, Nigeria, he enjoys crosswords, poker, and attempting to beat his Scrabble high score. Follow him on Twitter at @OsatoNomayo.

Editor

To contact the editor of this story:
Tim Copeland at
[email protected]