Deutsche Bank and DWS-backed EURAU stablecoin goes multichain with Chainlink

AllUnity’s euro-backed stablecoin, EURAU — a joint venture between Deutsche Bank and asset manager DWS — is expanding across multiple blockchains by using Chainlink’s crosschain infrastructure.

According to a Thursday announcement shared with Cointelegraph, EURAU will use Chainlink’s Cross-Chain Interoperability Protocol (CCIP) to connect with Ethereum, Arbitrum, Base, Optimism, Polygon and Solana. The company said it also plans to extend the stablecoin to the Canton Network, a blockchain focused on institutional financial applications.

AllUnity CEO Alexander Höptner said the CCIP will allow EURAU to “operate seamlessly across multiple blockchains,” improving its reach and usability. Chainlink Labs’ president of banking and capital markets, Fernando Vazquez, added that the integration lays the groundwork for Europe’s next phase of tokenized finance.

“AllUnity is establishing the core infrastructure for the next generation of tokenized finance across Europe.”

EURAU is a Markets in Crypto-Assets Regulation (MiCA)-compliant euro stablecoin fully backed by reserves and marketed for enterprise uses like B2B payments, treasury and onchain settlement.

Related: EU eyes euro stablecoins to challenge dollar monopoly

Connecting Europe’s stablecoin ecosystem

CCIP is Chainlink’s framework for securely transferring data, tokens and messages between different blockchains. In this system, Chainlink serves as an inter-blockchain communication service, enabling smart contracts on one blockchain to interact with assets or applications on another, specifically to transfer tokens across blockchains.

AllUnity’s focus on Europe reflects its roots as a collaboration between two major German financial institutions: DWS and Deutsche Bank.

Related: USDC issuer partners with Deutsche Börse for Europe stablecoin adoption

AllUnity’s founding companies have significant resources. DWS reported 1.01 trillion euros ($1.67 trillion) in assets under management as of March 31. Deutsche Bank currently holds about $1.647 trillion on its balance sheet as of June, according to Companies Market Cap data.

In early July, AllUnity received a license from the German Federal Financial Supervisory Authority, allowing it to issue the EURAU stablecoin in compliance with the MiCA framework at the end of July.