Kraken-backed stablecoin issuer Quantoz to launch two MiCAR compliant tokens

Dutch fintech firm Quantoz to roll out MiCAR-compliant stablecoins pegged to the euro and U.S. dollar in a bid to facilitate payments and transfers across markets.

Quantoz Payments, a Netherlands-headquartered payment tech firm, plans to debut two MiCAR-compliant stablecoins — EURQ and USDQ — as the Markets in Crypto-Assets regulations loom. In a Nov. 18 press release, Quantoz said the euro and U.S. dollar-pegged tokens will operate on the Ethereum blockchain, backed by fiat reserves and supervised by De Nederlandsche Bank.

The stablecoin issuer says transfers in both tokens will be “cheaper when compared to existing payment infrastructure,” adding that crypto exchanges Bitfinex and Kraken will be the first to list EURQ and USDQ for trading to eligible clients on Nov. 21.

Commenting on the launch, Quantoz chief executive Arnoud Star Busmann says the MiCA regulation brings a “new level of trust to digital assets markets, not least through its prudential requirements on the issuers of stablecoins.”

“As the world of payments becomes more digital, having well-regulated, transparent and fully backed stablecoins is critical to enabling faster, cheaper and more secure settlement within the world’s largest single market.”

Arnoud Star Busmann

At the same time, a group of investors, including Fabric Ventures, Kraken and stablecoin giant Tether, also invested in Quantoz, though the size of the funding was not disclosed.

Quantoz claims that EURQ and USDQ in circulation are “fully backed” one-to-one by fiat reserves and “highly liquid financial instruments such as government bonds.” Per the press release, the reserves are managed by an “independent foundation,” subject to DNB oversight and are placed in segregated accounts with banks.

Additionally, Quantoz is also required to maintain an additional 2% reserve on its own balance sheet under MiCAR guidelines.