STABLECOINS | Spain Leads European Retail Market for This Euro Stablecoin in Q1 2026

Spain has emerged as the leading retail market in Europe for euro-denominated stablecoin transactions driven by growing consumer adoption and seamless crypto-to-fiat usability, according to new data from Brighty, a digital banking platform.

Data cited shows that Spain accounted for roughly 36% of all retail transactions using Circle’s EURC stablecoin between 2025 and the first quarter of 2026, alongside about 25% of total transaction volume across Europe.

The average transaction size stood at around 49 euros ($57), indicating a strong focus on everyday retail payments rather than large transfers.

Brighty Co-Founder, Nick Denisenko, said Spanish users increasingly treat EURC as equivalent to traditional euros, particularly due to its ease of use and low-friction conversion with dollar-pegged stablecoin USDC.

The growth comes as euro-backed stablecoins gain traction in the region with EURC accounting for nearly half (49%) of the total market capitalization of euro-pegged digital assets, which stands at approximately $887 million, according to CoinGecko data.

Spain’s lead highlights a broader shift toward stablecoins for retail payments in Europe as calls for dollar-pegged stablecoin alternatives increase.

In April 2026, the Finance Minister of France urged on Europe to develop more Euro-denominated stablecoins urging banks to step up efforts to counter the dominance of U.S. dollar-backed digital assets in global payments.

2 months ago, a consortium of major European banks announced plans to launch a Euro-denominated stablecoin in the second half of 2026 in a push to offer a regulated alternative to U.S. dollar-linked digital tokens.

The stablecoin, designed to be fully backed 1:1 by Euros, is expected to hold reserves comprising bank deposits and high-quality short-term euro-area sovereign bonds, a structure intended to support continuous redemption and liquidity from the outset.

The UK Financial Conduct Authority (FCA) recently announced the selection of 4 companies to participate in a new stablecoin testing cohort in its regulatory sandbox allowing them to trial their stablecoin-related services under proposed regulatory frameworks in a safe, live setting.

The stablecoin sandbox cohort forms part of the FCA’s ongoing commitment to fostering innovation and growth in UK financial services.

The above developments come 2 months after the European Central Bank warned that increased dominance and use of dollar-pegged stablecoins is likely to import foreign monetary conditions and weaken the monetary policy of the EU.

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