Former crypto exchange CEO Alexander Höptner heads the joint effort to launch an EU-approved euro-pegged stablecoin.
Three financial services groups — Germany's DWS Group, Dutch market maker Flow Traders, and New York-based crypto asset manager Galaxy Digital Holdings — announced plans today to jointly seek regulatory approval for a euro-denominated stablecoin.
The groups intend to establish a new company, AllUnity, that will apply for an e-money license from Germany's financial regulator BaFin. Alexander Höptner, former chief executive of crypto exchange BitMEX, is slated to lead AllUnity as CEO.
AllUnity aims to launch its stablecoin within 12-18 months after securing the necessary approvals. The token would launch on major public blockchains like Ethereum and Solana and be used for mainstream payments, trading, and settlements.
"Corporates with IoT businesses could use our regulated euro-denominated stablecoin to make payments in fractions and 24/7 securely, and at their own convenience," said Stefan Hoops, CEO of DWS Group.
Galaxy Digital CEO Mike Novogratz said AllUnity's stablecoin "will enable investors across the world to gain access to the burgeoning digital asset space."
The plans come amid regulatory momentum around stablecoins in Europe. New EU rules expected to take effect in 2024 will provide a clearer framework.
While dollar-pegged stablecoins dominate crypto trading, some industry players see potential for wider use of euro-backed tokens as digital asset adoption grows.
"Europe is paving the way for this inevitable shift," Novogratz said.
