Deutsche Bank-backed EURAU stablecoin goes Live amid EU’s digital Euro surge

EURAU, a euro-denominated stablecoin backed by Deutsche Bank’s DWS, Flow Traders, and Galaxy Digital, has gone live on Ethereum.

Its launch is among the first to fall under the EU’s Markets in Crypto-Assets Regulation (MiCA), which came into effect in June 2024.

Regulated by Germany’s Federal Financial Supervisory Authority (BaFin), the new token aims to boost euro-based digital currencies in a space still dominated by US dollar stablecoins.

Since December 2024, euro-backed stablecoins have grown nearly 60% in market capitalisation—yet they continue to account for only a small slice of the $272.9 billion global market.

EURAU launches on Ethereum

AllUnity, a joint venture formed by DWS, Flow Traders, and Galaxy Digital, launched EURAU on 31 July 2025. The stablecoin is initially issued as an ERC-20 token on Ethereum, with plans to expand to other blockchains later in the year.

The launch ecosystem includes BitGo as a custody partner, with additional support from Metzler Bank, Fireblocks, Tradevest Group, DLT Finance, Hacken, Softstack, OAK Security, 21X, and V-Bank.

EURAU is one of the first stablecoins to be fully regulated under MiCA and supervised by BaFin, as the EU intensifies its efforts to foster compliant digital assets tied to the euro.

Bullish Europe lists EURAU

Bullish Europe, a Frankfurt-based exchange and custodian regulated by BaFin, is the first to list EURAU for trading. The company received four licences from BaFin in December 2024 and is preparing for broader EU expansion, although it has yet to receive a MiCA licence.

EURAU’s debut on Bullish Europe signals growing institutional interest in euro-denominated digital assets. The exchange’s role in onboarding the token could encourage further adoption of MiCA-compliant euro stablecoins across the region.

Euro stablecoins still trail dollar

Despite the launch of EURAU and the 60% growth in euro stablecoins since late 2024, their total market share remains small.

According to CoinGecko, euro-denominated stablecoins represent just 0.2% of the global stablecoin market, valued at roughly $484 million to $587 million.

In comparison, US dollar-pegged stablecoins dominate the market, with Tether’s USDt alone holding a market cap of $163.7 billion. The overall market cap for dollar stablecoins stands at $268.6 billion.

The European Central Bank has raised concerns over the lack of euro-backed alternatives. On 29 July, ECB adviser Jürgen Schaaf called for greater international coordination to regulate stablecoins and reduce global dependence on dollar-based tokens.

60% rise since December 2024

The market cap of euro stablecoins rose from $367 million in December 2024 to about $587 million by July 2025—marking a 60% increase.

Even so, adoption remains limited. While MiCA offers a structured path for regulated euro stablecoins to emerge, the actual usage of such tokens has yet to catch up with their US counterparts.

Some European officials have noted that further regulatory alignment with the US may be necessary to foster real growth and balance.

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