# Non-dollar stablecoins: stable against which currency? A non-dollar stablecoin targets a reference other than the US dollar, such as the euro. Maintaining that target does not stabilize its value in every other currency. Evaluate the stated unit, backing denomination, redemption route and market liquidity separately; EURC, for example, targets one euro rather than one dollar. Evidence: [SEC Division of Corporation Finance: Statement on Stablecoins](https://www.sec.gov/newsroom/speeches-statements/statement-stablecoins-040425); [EURC Terms](https://www.circle.com/legal/eurc-terms) Canonical: https://degreesofsatoshi.com/encyclopedia/non-dollar-stablecoins/ Published: 2026-10-02 Substantively modified: 2026-10-02 Independently verified by an automated reviewer: 2026-10-02T15:09:00.630Z Data current through: 2026-10-02 AI-assisted research and drafting with a separate automated source-verification pass; no external expert or named human review is implied. ## Key facts - **Reference:** Stable refers to a specified currency or asset, not every unit of account. ([SEC Division of Corporation Finance: Statement on Stablecoins](https://www.sec.gov/newsroom/speeches-statements/statement-stablecoins-040425)) - **EURC example:** Circle’s terms describe a one-euro target and euro-denominated backing. ([EURC Terms](https://www.circle.com/legal/eurc-terms)) - **Access:** Regional and provider terms determine the applicable conversion route. ([EURC Terms](https://www.circle.com/legal/eurc-terms)) ## A stable peg can coexist with an exchange-rate loss Imagine 100 euro-referenced tokens maintaining a value of €100. At a hypothetical exchange rate of $1.10 per euro, their dollar value is $110. If the exchange rate becomes $1.00 per euro, their dollar value becomes $100 even though the euro peg worked exactly as intended. The reverse applies to a dollar stablecoin held by someone whose expenses are in euros or Canadian dollars. Choosing a unit of account does not remove foreign-exchange exposure; it defines which price should remain stable. The exchange rates here are illustrative rather than current market observations. Evidence: [EURC Terms](https://www.circle.com/legal/eurc-terms) ## Read what the reserve is measured in EURC’s terms identify Circle Europe as issuer and describe euro-denominated assets in the backing arrangement. That denomination matters: a large asset total quoted in dollars is not enough to assess a euro obligation without considering the conversion basis. The same evidence habits apply as for dollar tokens: match dates, reporting entities and obligations, and identify any restrictions. If a token uses a basket or commodity reference instead, spell out the unit and valuation rule. The general stablecoin label does not supply them. Evidence: [EURC Terms](https://www.circle.com/legal/eurc-terms); [USDC and EURC transparency](https://www.circle.com/transparency) ## Separate peg quality from local conversion costs A token can trade close to its reference on one venue while being costly to acquire or sell in another currency. A user’s complete conversion includes spreads, market depth, fees and provider eligibility. Thin local liquidity is not automatically evidence that the underlying currency peg has broken. Circle’s cited EURC terms have a defined service scope and account conditions. Separate regional documents can apply elsewhere. This entry explains the currency mechanism and does not determine a reader’s legal entitlement, tax treatment or access in a particular country. Evidence: [EURC Terms](https://www.circle.com/legal/eurc-terms); [SEC Division of Corporation Finance: Statement on Stablecoins](https://www.sec.gov/newsroom/speeches-statements/statement-stablecoins-040425) ## Questions ### Should a euro stablecoin always be worth $1? No. Its reference is one euro. Its dollar price can change with the euro-dollar exchange rate even when it tracks its own reference. Evidence: [EURC Terms](https://www.circle.com/legal/eurc-terms) ### Is every non-dollar token backed by cash? No. The reference asset and stabilization mechanism are separate properties. Read the specific backing and conversion design. Evidence: [SEC Division of Corporation Finance: Statement on Stablecoins](https://www.sec.gov/newsroom/speeches-statements/statement-stablecoins-040425) ## Claims and scope ### non-dollar-stablecoins-quick-answer A non-dollar stablecoin targets a reference other than the US dollar, such as the euro. Maintaining that target does not stabilize its value in every other currency. Evaluate the stated unit, backing denomination, redemption route and market liquidity separately; EURC, for example, targets one euro rather than one dollar. Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null} ### non-dollar-stablecoins-fact-reference Reference: Stable refers to a specified currency or asset, not every unit of account. Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null} ### non-dollar-stablecoins-fact-eurc-example EURC example: Circle’s terms describe a one-euro target and euro-denominated backing. Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null} ### non-dollar-stablecoins-fact-access Access: Regional and provider terms determine the applicable conversion route. Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null} ## Sources - [SEC Division of Corporation Finance: Statement on Stablecoins](https://www.sec.gov/newsroom/speeches-statements/statement-stablecoins-040425) — U.S. Securities and Exchange Commission. Definition and intended reference asset; statement has explicitly limited scope, not a general legal classification. Locator: Introduction and Description of Covered Stablecoins. Retrieved: 2026-10-02T14:41:32.877120+00:00. - [EURC Terms](https://www.circle.com/legal/eurc-terms) — Circle. Euro reference, reserve denomination and issuer/redemption scope; not a USD peg. Locator: Sections 1–2 and 13. Retrieved: 2026-10-02T14:38:53.343445+00:00. - [USDC and EURC transparency](https://www.circle.com/transparency) — Circle. Reserve categories, dated third-party reports, distinction between circulation and assets. Locator: Balances; Monthly assurance and transparency. Retrieved: 2026-10-02T14:38:29.678364+00:00. ## Revision history - 2026-10-02: First publication after primary-source research and independent automated verification. ## Cite this entry Degrees of Satoshi editorial project. “Non-dollar stablecoins: stable against which currency?.” Published 2026-10-02; updated 2026-10-02. https://degreesofsatoshi.com/encyclopedia/non-dollar-stablecoins/