Spain Leads Europe’s Retail EURC Stablecoin Market in Q1 2026

• Spain accounted for about 36% of European retail EURC transactions between 2025 and Q1 2026.
• Brighty data showed Spain also represented about 25% of the total EURC transaction volume in Europe.
• The average EURC transaction size stood at 49 euros, pointing to everyday retail payment use.

Spain became Europe‘s leading retail market for Circle’s EURC stablecoin in the first quarter of 2026, according to data from digital banking platform Brighty. The report showed that Spanish users accounted for roughly 36% of all European retail transactions using the euro-backed digital asset between 2025 and Q1 2026.

The growth came as euro-denominated stablecoins gained more attention across Europe. Meanwhile, EURC represented nearly 49% of the total market capitalization of euro-pegged digital assets, which stood at about $887 million, according to CoinGecko data cited in the report.

Spain Leads EURC Retail Use

Brighty data showed that Spain accounted for about 25% of total EURC transaction volume across Europe. The figures placed the country ahead of other regional markets in retail use of Circles euro-denominated stablecoin.

The average transaction size stood at around 49 euros, or about $57. That amount pointed to routine consumer payments rather than large institutional transfers or high-value settlement activity.

Brighty Co-Founder Nick Denisenko said Spanish users increasingly treat EURC like traditional euros. He linked the trend to ease of use and low-friction conversion between EURC and Circles dollar-backed stablecoin USDC.

Notably, the data showed rising demand for euro-backed stablecoins as European policymakers continue to discuss alternatives to dollar-pegged digital assets. The report also placed Spain at the center of that shift in retail payments.

Euro Stablecoins Gain Policy Focus

EURCs market share showed broader growth in euro-denominated digital assets. According to CoinGecko data cited in the report, EURC accounted for nearly half of the euro-pegged stablecoin market, which was valued at about $887 million.

However, the sector remains smaller than the dollar-backed stablecoin market. European officials have raised concerns that heavy use of dollar-pegged stablecoins could strengthen the role of foreign digital money in payments.

In April 2026, Frances Finance Minister urged Europe to develop more euro-denominated stablecoins. The minister also called on banks to increase efforts to counter the dominance of U.S. dollar-backed digital assets in global payments.

Meanwhile, a consortium of major European banks announced plans two months ago to launch a euro-denominated stablecoin in the second half of 2026. The token is expected to hold 1:1 backing in euros, with reserves made up of bank deposits and high-quality short-term euro-area sovereign bonds.

Regulators Test Stablecoin Models

Stablecoin activity is also drawing attention beyond the European Union. The UK Financial Conduct Authority recently selected four companies for a stablecoin testing cohort inside its regulatory sandbox.

The FCA said the cohort will allow firms to test stablecoin-related services under proposed regulatory frameworks in a safe, live setting. The move forms part of the regulators broader work on innovation and growth in UK financial services.

Nevertheless, European central bankers continue to warn about possible risks from wider stablecoin use. The European Central Bank recently said rising stablecoin adoption could reduce retail bank deposits if households and companies move funds from bank accounts into digital assets.

The ECB also warned that wider use of dollar-pegged stablecoins could import foreign monetary conditions into the euro area. Additionally, it said such growth could weaken the flow of euro-area monetary policy through banks and traditional deposits.