Deutsche Bank’s asset management arm, DWS, has announced a new partnership with Galaxy Digital and Flow Traders to launch a euro-denominated stablecoin called AllUnity. The stablecoin will be “fully collateralized” and regulated by the German Federal Financial Supervisory Authority (BaFin). The goal of AllUnity is to promote the mass adoption of digital assets and tokenization.
AllUnity aims to bridge the gap between traditional and digital finance ecosystems by providing a secure on-chain settlement infrastructure for institutional, corporate, and private use. The stablecoin will enable corporations with internet-of-things businesses to make secure and fractional payments 24/7.
The partnership combines DWS’ portfolio management and product-structuring expertise, Flow Traders’ liquidity services and connectivity, and Galaxy’s technical infrastructure and track record in delivering digital asset solutions. AllUnity plans to incorporate its business in early 2024 and expects to launch the stablecoin 12 to 18 months after receiving BaFin approval.
The issuers anticipate regulatory clarity in the European digital asset industry, particularly with the newly adopted Markets in Crypto Assets regulations (MiCA), which provide a legal framework for stablecoins and other digital assets.
DWS has shown increasing interest in blockchain technology and digital assets, considering investments in German crypto firms and planning to launch “digital twin” funds accessible to clients with digital wallets. AllUnity plans to issue the euro stablecoin on major public permissionless L1s and L2s, including decentralized finance (DeFi) use cases.
In September 2023, Circle, the issuer of USDC, launched a Stellar-based version of its euro-backed stablecoin, EURC, in addition to existing versions on the Ethereum and Avalanche networks.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Europe |
| Countries | 🇩🇪 |
| Sentiment | very positive |
| Relevance Score | 1 |
| People | Michael Novogratz, Stefan Hoops |
| Companies | German Federal Financial Supervisory Authority (BaFin), Galaxy Digital, DWS Group, Flow Traders, AllUnity |
| Currencies | Euro, USDC |
| Securities | None |
