11 months ago
45
Establishing a new company with stable coins
Dutch market maker Flow Traders has partnered with Deutsche Bank’s DWS Group and major US cryptocurrency investment company Galaxy Digital to establish a company to issue euro-denominated stablecoins. Then he announced.
The new company, AllUnity, aims to issue fully backed stablecoins and promote the spread of digital assets and asset tokenization. The company plans to operate under the supervision of BaFin, Germany’s financial supervisory authority.
DWS is the investment arm of Deutsche Bank AG, a global megabank. In April, it announced that it would partner with Galaxy Digital to develop an exchange traded product (ETP) for digital assets in Europe.
connection: Deutsche Bank applies for license for virtual currency custody service
DWS oversees assets totaling approximately 133 trillion yen (860 billion euros), and Flow Traders has handled approximately 433 trillion yen (2.8 trillion euros) worth of assets in the first half of this year.
DWS CEO Stefan Hoopes explained the significance of the new company as follows.
Through the creation of AllUnity, we will bridge the gap between traditional and digitalized financial ecosystems and build an infrastructure provider for secure on-chain payments for institutions, businesses, and individuals.
For example, companies running the Internet of Things (IoT) business can use AllUnity’s regulated euro-denominated stablecoin to securely make installment payments 24/7.
Mike Kuehnel, CEO of Flow Traders, agrees that to truly democratize global financial markets, we need to promote transparency, efficiency, and accessibility, and that the tokenization of financial assets is He said it would play an important role.
Real asset (RWA) tokenization is currently attracting increasing attention both domestically and internationally.
connection:Japanese government also participates Approximately 30 private companies including Progmat and SBI Securities are converting VC funds into digital securitization
What is RWA?
Abbreviation for “Real World Asset.” RWA that is tokenized on the blockchain includes real assets such as real estate, artwork, trading cards, and securities such as stocks and bonds.
Virtual currency glossary
connection:Why investors are interested in real asset tokenization and what is Real World Assets (RWA)?
Cryptocurrency regulations clarified with EU MiCA approval
AllUnity will apply for an e-money license from BaFin, with the aim of issuing a stablecoin within 12 to 18 months. It is expected to be established at a time when regulations are becoming clearer under the EU’s comprehensive crypto asset (virtual currency) regulation bill, MiCA.
The European Union (EU) officially approved MiCA in June. Among them, the provisions regarding stablecoins are scheduled to come into effect in July 2024, ahead of other provisions.
MiCA requires stablecoin issuers to hold sufficient cash to back customer funds, and to disclose risks, price stabilization mechanisms, and how assets are stored.
connection: EU officially approves comprehensive virtual currency regulation proposal MiCA, to enter into force in stages
The post Deutsche Bank DWS to issue euro-denominated stablecoin with Galaxy Digital and others appeared first on Our Bitcoin News.
English (US) ·