Ethereum and Solana Stablecoins Surge in Europe Despite Stricter Regulations
- Why Are Stablecoins Thriving in Europe?
- Regulatory Pushback: Is the ECB Overreacting?
- 2025: A Record Year for Stablecoin Activity
- The MiCAR Effect: Friend or Foe?
- FAQs
Stablecoins on ethereum and Solana are experiencing unprecedented adoption in Europe, even as regulatory scrutiny tightens. Data reveals a dramatic spike in transactions, with 2025 marking a record year. While authorities express concerns over financial stability, the crypto community remains bullish. Here’s a deep dive into the trends, challenges, and what this means for the future of digital assets in the region.
Why Are Stablecoins Thriving in Europe?
Stablecoins like USDT and USDC have become the backbone of crypto trading in Europe, offering a seamless bridge between fiat and digital assets. According to Artemis Analytics, transactions in European time zones hit 7.8 million in November 2025, up from 7.7 million in October. This growth is particularly notable given the European Central Bank’s (ECB) warnings about potential risks.
What’s driving this demand? For one, traders are flocking to stablecoins to avoid the volatility of other cryptocurrencies. Platforms like BTCC have made it easier than ever to swap between euros and stablecoins, fueling adoption. Additionally, the rise of decentralized finance (DeFi) projects on Ethereum and Solana has created new use cases for these assets, from lending to yield farming.
Regulatory Pushback: Is the ECB Overreacting?
Senne Aerts, a researcher at the ECB, recently published a report highlighting the risks posed by stablecoins. The report argues that widespread adoption could destabilize traditional banking by diverting deposits away from banks. Aerts even suggested that stablecoin issuers might trigger “bank runs” if users suddenly withdraw their funds.
But is this fear justified? Many in the crypto community argue that stablecoins are simply filling a gap left by banks. With interest rates on traditional savings accounts at historic lows, it’s no surprise that investors are turning to alternatives. As one trader put it, “Why park my money in a bank earning 0.1% when I can earn 5% in a DeFi protocol?”
2025: A Record Year for Stablecoin Activity
Let’s break down the numbers. In 2025, Ethereum and Solana-based stablecoins saw over 113 million transactions in Europe alone—a 150% increase from 2024. January and February were particularly strong, with 14.9 million and 13.7 million transactions, respectively. While activity dipped slightly in the latter half of the year, the overall trend remains bullish.
Compare this to 2023, when transactions barely reached 3.8 million. The growth is staggering, and it’s not just traders driving it. Businesses are increasingly using stablecoins for cross-border payments, thanks to their speed and low fees.
The MiCAR Effect: Friend or Foe?
The EU’s Markets in Crypto-Assets Regulation (MiCAR) has been a double-edged sword. On one hand, it provides much-needed clarity for issuers. On the other, it bans interest payments on stablecoin holdings—a MOVE critics say stifles innovation.
Despite this, nine European banks are collaborating on a euro-backed stablecoin called Qivalis, set to launch in 2026. Could this be the answer to regulators’ concerns? Only time will tell, but one thing’s clear: stablecoins aren’t going anywhere.
FAQs
How many stablecoin transactions occurred in Europe in 2025?
Over 113 million transactions were recorded, with January and February being the busiest months.
What are regulators’ main concerns about stablecoins?
The ECB worries about financial instability, bank disintermediation, and the potential for sudden withdrawals.
Which platforms are driving stablecoin adoption?
Exchanges like BTCC and DeFi protocols on Ethereum/Solana are key players.
