EURAU Stablecoin: First MiCA Euro Token by Deutsche Bank
EURAU stablecoin has secured BaFin’s EMI license, making it Europe’s first MiCA-compliant euro stablecoin. The joint venture AllUnity—backed by DWS (Deutsche Bank), Flow Traders and Galaxy Digital—will issue the fully collateralized EURAU stablecoin for 24/7 institutional cross-border settlements. Stefan Hoops, CEO of DWS, calls the license an inflection point for euro-on-chain and Europe’s financial system. Mike Novogratz of Galaxy Digital highlights the token’s compliant and transparent transfer utility, while Flow Traders supplies market liquidity. Initially announced in December 2023, the EURAU stablecoin gains momentum under MiCA rules as the euro stablecoin market grew 44% in H1 2025 to $480 million. Deutsche Bank also plans tokenized deposits and a 2026 crypto custody service with Bitpanda.
Bullish
Regulatory approval for the EURAU stablecoin is likely to have a bullish impact on the market. The MiCA-compliant euro token provides institutional-grade confidence akin to Circle’s EURC under EU rules, which drove significant adoption in the euro stablecoin sector. By securing BaFin’s EMI license, the EURAU stablecoin reduces compliance risks and opens euro-denominated blockchain transfers to banks, fintechs and enterprises, boosting euro liquidity in decentralized finance.
In the short term, traders may see increased euro-based stablecoin flows and tighter spreads on euro-paired trading pairs, enhancing market efficiency. In the long run, the entrance of a fully regulated euro stablecoin backed by Deutsche Bank, Galaxy Digital and Flow Traders underlines Europe’s commitment to digital finance infrastructure. It may pave the way for broader tokenized euro instruments, deeper institutional participation and expanded DeFi use cases. Overall, this development marks a positive step toward mainstream adoption of blockchain-based payment rails in Europe.