Deutsche
Bank’s asset management arm, DWS, has joined forces with crypto investment firm
Galaxy Digital and liquidity provider Flow Traders to introduce a joint venture
focused on creating a EUR-denominated stablecoin.
The
collaboration, named AllUnity, aims to bridge the gap between traditional and
digital finance ecosystems and is poised to become a core infrastructure
provider for secure on-chain settlements. Scheduled to launch within the next
18 months, AllUnity represents a strategic effort to accelerate the mass market
adoption of digital assets and tokenization.
Stefan Hoops, CEO, DWS, Source: LinkedIn
The
venture will operate under the regulatory oversight of BaFin, Germany’s
financial supervisory authority, ensuring compliance with stringent financial
standards. Stefan Hoops, CEO of DWS, expressed enthusiasm about AllUnity’s
potential impact on the financial landscape.
Alexander Höptner, Source: LinkedIn
He
stated: “Through the future creation of AllUnity, we will bridge the gap
between the traditional and digital finance ecosystems to build a core
infrastructure provider that facilitates secure on-chain settlement for
institutional, corporate, and private use.”
Hoops
provided an example of the innovative applications, stating: “For
instance, corporates with IoT businesses could use our regulated EUR stablecoin
to make payments in fractions and 24/7 securely, and at their own
convenience.”
As
part of the collaboration, AllUnity will leverage tokenization and custodial
technology from Galaxy Digital’s subsidiary, GK8. This strategic move positions
AllUnity at the intersection of cutting-edge technology and financial
expertise.
The
venture’s leadership will be entrusted to Alexander Höptner, a seasoned
professional with experience at BitMEX, Börse Stuttgart, and Deutsche Börse.
Höptner highlighted the regulatory advantages AllUnity stands to gain,
especially in the wake of the newly adopted Markets in Crypto Assets Regulation.
This regulation, now in force within the EU, provides a harmonized legal
framework for stablecoins, offering increased protection for market
participants.
“AllUnity
will be able to leverage MiCAR, which we believe will contribute to growing the
stablecoin market as it provides a robust regulatory framework that enhances
investor protection and market integrity,” said Höptner. “In the
coming period, we will focus on building a strong team of talented crypto,
financial markets, technology, and regulation…
