AllUnity Launches First Regulated Euro Stablecoin After Securing BaFin License

Highlights:

• BaFin has granted AllUnity the EMI license to launch EURAU euro stablecoin.
• EURAU is 100% collateralized and MiCAR-compliant for institutional use.
• Flow Traders will aid the liquidity, whereas Galaxy and DWS will promote adoption.

AllUnity has obtained a BaFin EMI license to be able to issue its euro stablecoin, EURAU, in the European market on July 1, 2025. This license makes EURAU the first fully MiCAR-compliant euro stablecoin in Germany, marking a landmark move in European digital finance.

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As stated in the press release, the joint venture encompasses DWS, Deutsche Bank, Galaxy, and Flow Traders. Their cooperation supports the institutional-level basis of the euro stablecoin. Now that the MiCAR is in full operation, EURAU finds itself in an environment that is in need of transparent and regulated digital assets.

AllUnity seeks to make EURAU a reliable option for making cross-border payments and improving efficiency in the financial system. The euro stablecoin will be fully collateralized and audited regularly based on proof of reserve. In addition, it will also observe strict financial reporting practices in accordance with EU guidelines.

1/ 𝐀𝐥𝐥𝐔𝐧𝐢𝐭𝐲 𝐒𝐞𝐜𝐮𝐫𝐞𝐬 𝐁𝐚𝐅𝐢𝐧 𝐄𝐌𝐈 𝐋𝐢𝐜𝐞𝐧𝐬𝐞 𝐭𝐨 𝐋𝐚𝐮𝐧𝐜𝐡 𝐢𝐭𝐬 𝐌𝐢𝐂𝐀𝐑-𝐂𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐭 𝐄𝐮𝐫𝐨 𝐒𝐭𝐚𝐛𝐥𝐞𝐜𝐨𝐢𝐧

AllUnity, a joint venture between @DWS_Group, @FlowTraders, and @galaxyhq, has been granted an E-Money Institution (EMI)… pic.twitter.com/TG5U2xYf1c

— AllUnity (@AllUnityStable) July 2, 2025

MiCAR Compliance Drives New Digital Currency Wave

The euro stablecoin fully adheres to Markets in Crypto-Assets Regulation (MiCAR), which came into effect on December 30, 2024. MiCAR provides a harmonized legal framework for stablecoins in the European Economic Area. With an increasing regulatory demand, EURAU arrives in the market at a time when leading competitors such as Tether are being delisted due to non-compliance. Moreover, European markets have started dropping unsupported assets, leading to a demand rise of fully compliant assets.

Flow Traders will play the role of liquidity provider, making the integration into the market seamless. DWS and Deutsche Bank come forth with a financial infrastructure and institutional trust. Additionally, one of the key partners, Galaxy Digital, will help EURAU in its digital asset adoption strategy.

Exciting step for Europe's digital future. @AllUnityStable, our joint venture with @FlowTraders and @DWS_Group, has obtained an EMI license from BaFin, Germany’s securities regulator.

This clears the path for EURAU, a fully regulated, euro-backed stablecoin built for… pic.twitter.com/5JiqzOa0dn

— Galaxy (@galaxyhq) July 2, 2025

EURAU also offers quick finality of transactions due to its 24/7 settlement services. The euro stablecoin can also be integrated with the ERP systems, regulated financial institutions, and fintech platforms, providing smooth access to tokenized euros to corporate treasuries and businesses.

EURAU to Reshape Cross-Border Payments

EURAU is aimed to be used in more than trading use cases. Moreover, it is meant to streamline the treasury operations, international settlements, and B2B flows. The euro stablecoin eliminates legacy payment delays and allows the timely, urgent exchange of euro-denominated funds across the globe.

In addition, the stablecoin introduces euro liquidity within the blockchain ecosystem, and it is fully regulated. Through MiCAR licensing, EURAU stands by the most optimistic standards of reserve coverage, audit, and legal clarity. EURAU is deployable in institutional usage and smart contract settings by institutional users. Consequently, this enhances the extent of automation and limits settlement risk. Furthermore, it can be integrated directly via fintech platforms into the user application, opening the processing of euro transfers easily.

AllUnity will make EURAU the leader in the market of euro stablecoins by providing compliance and utility. Moreover, being the first regulated euro stablecoin approved by the BaFin, it may serve as a model of regulated digital currencies in the future in the region. Recently, Paxos launched its USDG stablecoin in the European Union, which adheres to MiCA rules of digital asset regulation. USDG will be issued by Paxos Issuance Europe in Finland and regulated by the Finnish Financial Supervisory Authority.

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