Frankencoin has published its MiCA Whitepaper (MiCA refers to the EU's Markets in Crypto-Assets regulation) in the European MiCA Register, the Frankencoin Association announced on Tuesday. This provides the regulatory basis for regulated cryptocurrency exchanges in the EU to offer the stablecoin to their customers.

Frankencoin is pegged to the Swiss franc and operates as a decentralised, collateral-backed stablecoin. According to research platform DeFiLlama, it is currently the world's second-largest stablecoin that is neither pegged to the US dollar nor the euro. The protocol has been in operation since 2023 and is available on several major blockchain networks.

MiCA Rules Enter Full Force

The publication comes shortly before the end of the MiCA transitional period for crypto-asset service providers. From 1 July onwards, providers without a MiCA licence will no longer be permitted to offer crypto-asset services to customers in the European Union.

The Frankencoin Association stated that the publication of the Whitepaper is in line with the MiCA regulatory framework and therefore establishes a prerequisite for listings on regulated trading platforms. The Whitepaper was prepared in cooperation with the MiCA Crypto Alliance, which has also admitted the Frankencoin Association as a member.

A Swiss Franc Alternative in the Stablecoin Market

According to the Zug-based association, Frankencoin is intended to provide an alternative to the US dollar-denominated stablecoins that currently dominate the market. Potential use cases include payments, savings, trading and decentralised finance (DeFi) applications.

«The Swiss franc stands for stability and trust,» said Johannes Kern, Managing Director of the Frankencoin Association. «With the published MiCA Whitepaper, regulated European exchanges now have a basis for giving their customers access to a digital Swiss franc." Kern added: "The financial infrastructure of the future must not be built exclusively in dollars. A digital Swiss franc must be part of it.»