Major French retailer to launch euro-backed stablecoin

The Paris-listed retailer Groupe Casino will issue a euro-backed stablecoin Lugh (EURL) on the Tezos blockchain, according to journalist Grégory Raymond.

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@Groupe_Casino (french Walmart) launches its euro stablecoin : Lugh

👉 First reserved for crypto traders

👉 Will gradually become a consortium whose ambition will be to become a means of payment and global loyalty program in partner brands pic.twitter.com/rkJAQXC9ye

— Grégory Raymond (@gregory_raymond) March 17, 2021

The issuer of the stablecoin is the company Lugh. The journalist said it would gradually become a consortium that would offer payment methods and a global loyalty program across partner brands.

The partner is cryptocurrency exchange Coinhouse — initially, the asset will appear on this platform.

According to Raymond, the initial issuance will amount to 500 000 EURL (€500 000). Other exchanges will be able to list the stablecoin within a few months after the testing phase, he added.

Concretely, the Lugh (symbol $EURL) is distributed in temporary exclusivity now on french-european @Coinhouse_EN

Other regulated platforms will be able to list it within a few months after the test phase

First issue of 500,000 $EURL (€500,000) pic.twitter.com/Pfx2LiYvB9

— Grégory Raymond (@gregory_raymond) March 17, 2021

According to Lugh’s press release, the project was supported by the financial conglomerate Societe Generale (the owner of the issuer’s account), consulting firm PwC France and Maghreb and Nomadic Labs, a research and development outfit for the Tezos protocol.

«The Lugh project is aimed at developing new financial services based on blockchain technology. To guarantee stability, for every issued digital asset one euro will be held in a dedicated bank account», the statement said.

In September 2020, the French central bank chose the Tezos blockchain platform for experiments with a national digital currency.

What is Tezos (XTZ)?

Later, the French state-owned energy company EDF Group, through its Exaion unit, joined Tezos as a baker.

Earlier, in December, the German Bankhaus von der Heydt issued a euro-backed stablecoin EURB on the Stellar network.

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