Market infrastructure provider Deutsche Börse is set to integrate the EURAU euro-pegged stablecoin, issued by AllUnity. This move signifies an expansion of the exchange group’s digital-asset strategy, building on previous collaborations with Circle’s Euro Coin (EURC) and Societe Generale-Forge’s EUR CoinVertible (EURCV).
According to an announcement on November 26, Deutsche Börse intends to integrate EURAU into its financial market infrastructure. The initial phase will focus on institutional custody through its central securities depository arm, Clearstream. The announcement also indicated plans for a future "integration of the euro stablecoin across the entire service portfolio."
This integration will bring the stablecoin into a significant and expanding market. Data from the World Federation of Exchanges indicates that Deutsche Börse's domestic equity market capitalization is approximately $2.23 trillion, with 474 listed companies.
Deutsche Börse and AllUnity have signed a memorandum of understanding, though a specific launch date for the new features has not yet been disclosed. AllUnity CEO Alexander Höptner stated that the partnership aims to make "onchain cross-border payments and digital assets accessible to institutional market participants."
Stephanie Eckermann, a member of the Deutsche Börse Group executive board, commented that the "goal is to build a seamless bridge between the established financial world and the future of digital assets." She further explained that this partnership is a crucial element of this endeavor, enabling clients to "confidently explore new possibilities in digital finance" through the embedding of institutional-grade stablecoins.
Deutsche Börse and AllUnity had not responded to Cointelegraph’s inquiry by the time of publication.
Deutsche Börse Expands Euro Stablecoin Strategy
Deutsche Börse's integration of EURAU follows its earlier partnership with major stablecoin issuer Circle, announced in late September, to adopt its EURC token. Earlier in November, the company also announced a partnership with Societe Generale-Forge to integrate its EURCV stablecoin.
With this latest agreement, Deutsche Börse is diversifying its stablecoin offerings. It has added EURAU, an offering from a German BaFin-licensed e-money institution. This complements EURCV, a bank-tied stablecoin from Societe Generale-Forge, the blockchain arm of the major French multinational bank Societe Generale, and EURC, which comes from a US tech-sector issuer.
EU Stablecoin Adoption Gains Momentum with MiCA Framework
While not generating the same level of global attention as developments in the United States, the European Union is making significant strides in stablecoin adoption following the full implementation of the Markets in Crypto-Assets Regulation (MiCA) framework at the end of 2024. The announcement highlights that this partnership "aligns with MiCA" and "represents a tangible step toward digitizing European markets and enhancing settlement and liquidity processes."
Höptner commented, "Europe is taking a global lead in regulated digital finance."
Despite this progress, stablecoin adoption in Europe is still in its early stages. Earlier in November, financial stability experts at the European Central Bank (ECB) noted that stablecoin-related risks in the euro area are currently limited due to low adoption rates and preventative regulatory measures.
Some analyses suggest that euro stablecoins could serve as a solution to concerns that U.S. dollar-backed stablecoins might undermine the European Union's monetary independence. Pierre Gramegna, the managing director of the European Stability Mechanism, stated earlier this month, "Europe should not be dependent on US dollar-denominated stablecoins, which are currently dominating markets."
The industry is also witnessing increased participation from established traditional financial institutions. In mid-October, the Franco-German banking group ODDO BHF launched a stablecoin pegged to the euro, operating under the MiCA framework.
In late September, a consortium of major European banks collaborated to launch a euro-pegged stablecoin in compliance with MiCA. This group includes prominent lenders such as Dutch bank ING and Italy's UniCredit.