BREAKING: Deutsche Bank & Galaxy Launch EURAU – Europe’s First MiCA-Compliant Euro Stablecoin

Traditional finance meets crypto as two giants drop a regulatory-compliant atomic bomb on the stablecoin market.

The MiCA moonshot

Deutsche Bank partners with crypto powerhouse Galaxy to launch EURAU – the first euro-denominated stablecoin operating under Europe's shiny new Markets in Crypto-Assets (MiCA) framework. No more regulatory gray areas – this token wears compliance like a bespoke Brioni suit.

Why this matters

While Tether and USDC dominate dollar-pegged stablecoins, Europe's been stuck playing catch-up. Until now. EURAU's arrival marks a seismic shift – institutional-grade euro liquidity with full regulatory blessing. The ECB might finally stop scowling at crypto.

The cynical take

Banks suddenly love blockchain when they can slap KYC on every transaction and charge custody fees. How very... decentralized of them.

One thing's certain – the race for European stablecoin supremacy just got real. Place your bets.

Germany’s First Regulated EURAU Stablecoin Provides 24/7 Cross-Border Solution

The EURAU stablecoin is designed to facilitate round-the-clock instant cross-border settlements and seamless integration for regulated financial institutions, fintech companies, treasury operations (ERP systems), and enterprise clients throughout Europe and internationally.

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

Stefan Hoops, CEO of DWS, emphasized the importance of this development, stating that “The E-Money Institution (EMI) license marks an inflection point for the European financial industry as it enables the issuance of the first fully regulated EUR stablecoin out of Germany.“

Hoops further elaborated that “DWS and its joint venture partners believe that bringing the euro onto the blockchain represents a foundational building block for the future of the European financial and real economy, creating a gateway to Europe and a more efficient financial system.“

Mike Novogratz, Founder and CEO of Galaxy, expressed confidence that EURAU will allow frictionless, compliant, and transparent value transfer, unlocking real utility for institutions, fintechs, and enterprises across borders.

Flow Traders will contribute to the initiative through its expertise as a leading global liquidity provider and market maker, while Galaxy Digital, recognized as a prominent leader in digital assets and blockchain, will help institutions operate in the evolving digital economy as EURAU develops into a fully regulated, euro-backed stablecoin designed for institutional use.

The AllUnity EURAU stablecoin was initially announced in December 2023 and has gained strong momentum following the recent approval of its EMI license and compliance with Europe’s MiCA framework.

INSIGHT: Euro‑pegged stablecoins surged 44% in H1 2025 — from $310M → $480M in market cap.

Circle’s EURC leads with +138%, now ~$200M. EUR stables still
A ~13% rally in EUR/USD is behind the boost.

Are traders diversifying into EURO stables as… pic.twitter.com/g1lgNY58AT

Stablecoins, which maintain their value by being pegged to fiat currencies such as the euro or the dollar, alongside tokenized deposits—blockchain-based representations of traditional bank deposits—are experiencing increased adoption as financial institutions seek faster and more cost-effective payment solutions.

Why Deutsche Bank, Europe’s Largest Lender, Bets Big on Digital Assets

Deutsche Bank, Europe’s largest lender, has demonstrated considerable ambition regarding this initiative and digital assets more broadly.

On June 8, Deutsche Bank announced its exploration of stablecoins as the institution evaluated whether to issue its own digital currency or participate in broader industry initiatives, according to Sabih Behzad, Deutsche Bank’s head of digital assets and currencies transformation, in a Bloomberg interview.

The bank is also examining the potential for developing tokenized deposits that could enhance transaction settlement efficiency.

Beyond Europe, the German financial giant has been pursuing expansion opportunities in Latin America.

According to a press release shared with Cryptonews in May, Taurus, a Swiss digital asset infrastructure provider backed by Deutsche Bank and Credit Suisse, partnered with financial technology company Parfin to accelerate institutional adoption of digital assets across Latin America and Europe.

Most recently, on July 1, Bloomberg reported that Deutsche Bank plans to launch a cryptocurrency custody service in 2026, collaborating with Bitpanda’s technology division to develop the platform.

@DeutscheBank plans to roll out a digital assets custody service in 2026, partnering with @Bitpanda’s technology arm to build the platform.#Deutsche #Cryptohttps://t.co/xdnBFQULqY

This custody initiative is part of a broader trend among major financial institutions ramping up their digital asset capabilities, driven by evolving European regulations and supportive policy developments in the United States following Donald Trump’s recent electoral victory.