Banking Circle launches MiCA-backed stablecoin settlement

Banking Circle S.A. launched a MiCA-compliant stablecoin settlement service from its Luxembourg bank after receiving a Crypto-Asset Service Provider (CASP) license from the Commission de Surveillance du Secteur Financier (CSSF) on April 15, 2026. The settlement service went live on April 27, 2026.

The service is integrated into the bank’s core platform and supports instant two-way settlement between fiat and stablecoins, allowing fiat-to-stablecoin and stablecoin-to-fiat conversions in real time. The capability is available 24 hours a day, seven days a week.

Banking Circle said the offering is aimed at payments firms, banks and fintechs that require on-chain settlement with bank-level regulatory traceability and oversight. Conversions can be initiated from existing client accounts and interfaces and run through the bank’s back-end systems.

The bank holds banking, electronic money token (EMT) and CASP licenses concurrently, making it the first institution in Luxembourg to hold all three authorizations. Supported stablecoins include Circle’s USDC, Paxos’ USDG and Banking Circle’s euro stablecoin EURI.

Banking Circle described the service as allowing direct convertibility between fiat and stablecoins without routing transactions through correspondent banking chains. The bank stated settlements will be auditable and operate under the MiCA framework and CSSF supervision.

Global stablecoin market capitalization exceeds €250 billion and annual payment volumes are estimated at about €330 billion. Banking Circle cited those figures when describing the market context for the service.

“The award of our CASP license is an important milestone for Banking Circle, as well as for the broader payments ecosystem. Stablecoins have fast evolved from a peripheral innovation into core infrastructure for cross-border settlement, treasury management, and financial inclusion. We are proud to be at the forefront of bringing these capabilities to market within a robust regulatory framework.” — Laust Bertelsen, CEO of Banking Circle.

“We have spent years building the financial infrastructure that enables more than 750 payment companies, financial institutions, and marketplaces to efficiently move and convert over €1.5 trillion annually across the globe. Stablecoins are a natural extension of that infrastructure and central to our mission of eliminating unnecessary cost and complexity through technology.” — Kirit Bhatia, Chief Digital Asset Officer of Banking Circle.