AllUnity launches EURAU, a euro-denominated stablecoin under Germany’s new crypto regulations

AllUnity, a collaborative effort between DWS, Galaxy, and Flow Traders, has introduced EURAU, a euro-backed stablecoin that has been approved under Germany’s latest crypto regulations. This stablecoin is touted as the first of its kind to be issued under the EU’s Markets in Crypto-Assets Regulation (MiCAR) and has been officially licensed as electronic money by Germany’s BaFin. EURAU, which operates on the Ethereum blockchain as an ERC-20 token, has been specifically designed to cater to financial institutions, fintech companies, and corporate clients that require regulated, instantaneous cross-border euro transactions.

To ensure compliance and transparency, AllUnity has collaborated with a group of European banks to serve as reserve custodians. This framework has been put in place to meet the standards set by regulators and to provide peace of mind to institutions by offering regular proof-of-reserve disclosures.

The launch of the token includes trading pairs such as BTC/EURAU and USDC/EURAU on Bullish Europe, a digital asset exchange regulated by BaFin. Flow Traders has been enlisted to provide liquidity as the market maker for these trading pairs. Interestingly, Bullish Europe is owned by Coindesk, further solidifying the credibility and trustworthiness of the platform.

With the backing of reputable entities like BitGo, Metzler Bank, and Fireblocks, EURAU represents a broader effort to integrate regulated stablecoins into Europe’s financial infrastructure. CEO of AllUnity, Alexander Höptner, views this launch as a significant step towards achieving “financial sovereignty” in a digital Europe.

Overall, the introduction of EURAU marks a pivotal moment in the world of stablecoins, showcasing the potential for greater adoption and integration of digital assets within the traditional financial landscape.