How Is Avalanche Enabling Euro Yields?

Colombian fintech Littio launched EURO IBAN accounts offering 6% annual yields, leveraging Circle’s EURC stablecoin and OpenTrade’s RWA-backed yield solutions on the Avalanche blockchain. The announcement, made in London on February 25, 2025, marks a significant step in providing borderless, high-yield banking options for Latin Americans and Europeans.

The product combines blockchain technology with stablecoin infrastructure to deliver accessible, cost-effective, and secure financial services to regions historically underserved by traditional banks.

Bringing Euro Savings to Latin America

Littio’s EURO IBAN accounts aim to solve a pressing issue in Latin America: currency devaluation and limited access to savings products in stable currencies. The platform reportedly allows users to:

• Instantly open euro-denominated IBAN accounts
• Earn 6% annual yields on their euro savings
• Send and receive cross-border payments
• Hold savings without minimum balance requirements

Unlike traditional banks, Littio’s offering is borderless, fast, and transparent, leveraging blockchain infrastructure to provide accessible financial services to anyone with a smartphone.

How It Works

The EURO IBAN accounts are powered by Circle’s EURC stablecoin and OpenTrade’s Yield Pots, built on the Avalanche blockchain.

1. EURC Integration

Circle’s EURC stablecoin is a euro-backed digital asset designed to maintain a 1:1 peg with the euro. By tokenizing euros, Littio offers users:

• Faster transactions
• Lower fees
• Transparent, on-chain transactions

2. Yield Generation via OpenTrade

OpenTrade provides real-world asset (RWA)-backed yield products through its blockchain-based platform. Littio users can deposit EURC into Yield Pots, which generate returns by investing in:

• U.S. Treasury Bills
• Structured Credit
• Supply Chain Finance

These yield vaults have processed over $80 million in transactions, unlocking nearly $250,000 in returns in the past four months.

Why Latin America Needs Stablecoin Banking

Latin America faces high inflation, volatile local currencies, and limited access to global financial products. According to Chainalysis, the region accounted for 9.1% of global crypto value between July 2021 and June 2022, reaching $562 billion in transaction volume.

Approximately 70% of Latin America’s population remains unbanked due to:

• Strict AML laws
• High minimum balance requirements
• Mistrust of traditional banks

Littio’s offering addresses these challenges by providing:

• Zero minimum balance accounts

• Instant account creation

• Transparent, on-chain transactions

•  High-yield savings options

Moreover, Littio’s aims to offer provides a solution for:

• Freelancers accepting payments from European clients
• Latin American migrants sending remittances home
• Businesses operating across Europe and Latin America
• Students studying abroad

The fintech first gained traction with its USDC-based yield product, which processed over $100 million in subscriptions.

Blockchain Powering Financial Inclusion

Avalanche’s high-speed, low-fee blockchain network plays a critical role in Littio’s infrastructure. Littio recently transitioned its holdings from Ethereum to Avalanche to benefit from:

• Sub-second transaction finality
• Lower gas fees
• Seamless compatibility with Ethereum Virtual Machine (EVM)

Morgan Krupetsky, Head of Institutions & Capital Markets at Ava Labs, commented:

“Littio and OpenTrade exemplify how Avalanche’s technology can enable underbanked populations to access compelling products and services that are otherwise unavailable or untenable via traditional rails leverage."

According to the Avalanche team, it’s infrastructure has proven particularly effective for:

• Real-world asset tokenization
• Cross-border payments
• Stablecoin-based products

By leveraging Avalanche, Littio can offer faster, cheaper, and more scalable financial products to its growing user base.