Sharlife is a Registered Shariah Advisory Firm with Securities Commission Malaysia - The only regulated provider of crypto & stocks Shariah status
Sharlife is a Registered Shariah Advisory Firm with Securities Commission Malaysia - The only regulated provider of crypto & stocks Shariah status
EURC is MiCA-compliant and redeemable 1:1 for euro, providing a stable digital representation of the euro currency.
Circle's Euro Coin (EURC) is an euro stablecoin that is fully backed by cash reserves held at regulated financial institutions. It maintains a stable 1:1 peg with the euro, making it a reliable digital representation of the European currency.
The EU's Markets in Crypto-Assets (MiCA) Regulation went into effect on December 30, 2024. MiCA outlines a set of rules and provisions around transparency, disclosure, and supervision that crypto-asset service providers (CASPs) need to follow.
EURC is fully compliant with these regulations, ensuring it meets the highest standards of regulatory oversight in the European Union.
EURC is backed by a transparent reserve consisting of:
Held at regulated financial institutions
Cash due to/(owed by) Circle due to timing and settlement differences
Unlike some other stablecoins, EURC does not offer any yield or interest to holders, which simplifies its Shariah compliance status.
Permissible for use according to Shariah principles
Although EURC is backed by reserves that include Non-Shariah financial instruments, purchasing EURC does not grant holders the rights to receive any coupon payments or interest generated from these reserves. However, the permissibility of EURC depends on its usage, which must align with Shariah principles and comply with the rules of bay' al-sarf.
EURC is considered Shariah-compliant for general use. When exchanging EURC for other currencies, ensure compliance with bay' al-sarf rules, which require spot settlement and equal counter-values when exchanging currencies.
| Reserve Assets | Cash at regulated institutions |
|---|---|
| Yield Source | None |
| Supported Networks | Avalanche, Base, Ethereum, Solana, Stellar |
| Issuer | Circle |
Regulated financial technology company
EURC's legitimacy is reinforced by its MiCA compliance, aligning with the EU's Markets in Crypto-Assets (MiCA) Regulation, which came into effect on December 30, 2024. MiCA establishes strict transparency, disclosure, and supervisory requirements for crypto-asset service providers (CASPs). Additionally, EURC is redeemable 1:1 for euros, ensuring stability and regulatory adherence.
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