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April 21, 2023

Top Ethereum (ETH) Developers Blast New European Stablecoin Launched on ETH

By Mehron Rokhy

Two Ethereum (ETH) developers are sounding off on a new European stablecoin that recently launched on the top smart contract platform.

The pseudonymous ETH developer known as 0xfoobar tells their 128,000 Twitter followers that the new stablecoin, which launched in France, has an inefficient transfer mechanism and the worst coding they’ve ever seen.

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“France launched a stablecoin on Ethereum and it’s the worst code I’ve ever seen.

Every ERC20 single transfer has to be approved in a separate ETH [transaction] submitted by a centralized registrar.

What a laughingstock, is this your CBDC (central bank digital currency)?”

The developer goes on to sarcastically mock the thinking process of those behind the development of such a stablecoin.

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“So crypto is eating our lunch because transfers settle in seconds instead of waiting days for some back-office agency to load up the fax machine, how can we compete?

What if we made an ERC20 [token], but instead of settling in seconds, you still have to wait for the back-office fax?”

The stablecoin, known as EUR CoinVertible (EURCV), is pegged to the Euro and was introduced by French financial services giant Societe Generale.

Another Ethereum developer, known as aleph_v, also notes the extreme inefficiency of the protocol’s transfer mechanism, saying that such tight regulations could only come from a French bank.

“I read the code for the new Euro stablecoin and they decided the best option was for the bank to have to do an ETH transaction to process every single transfer…

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It makes sense [to be honest], such a radical commitment to inefficiency in the name of regulation could only come from a French bank.”

According to aleph_v, the stablecoin was coded in a way so that a blockchain transaction must be performed to process approvals.

“I noticed something 100x funnier: THEY HAVE TO DO A BLOCKCHAIN TRANSACTION TO PROCESS YOUR APPROVALS.

They coded it so they have to whitelist all users, process all user transfers, and even process your ERC20 approvals before they process your ‘transferFrom’ lmao.”

The new stablecoin just launched a few weeks after French President Emmanuel Macron said that Europe should strive to lower its dependence on the US dollar.

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