Tom Kushner AllUnity, backed by Deutsche Bank, launches CHFAU, a MiCA-compliant Swiss franc stablecoin aimed at institutional settlement on Ethereum, expanding Europe’s regulated digital asset ecosystem.
Deutsche Bank-backed AllUnity unveils Swiss franc stablecoin CHFAU under MiCA license
In a significant development for Europe’s digital finance landscape, Deutsche Bank-backed AllUnity has launched CHFAU, a Swiss franc stablecoin fully regulated under the EU’s Markets in Crypto-Assets framework. The new launch positions AllUnity as a key player in the evolution of compliant digital currencies, building on its earlier success with the euro-pegged EURAU token.
The CHFAU stablecoin is pegged 1:1 to the Swiss franc and initially available to institutional and professional clients through the AllUnity Mint Platform. Operating on the Ethereum network as an ERC20 token, the initiative marks a major milestone in bridging traditional banking strength with blockchain efficiency.
AllUnity secured an E-Money Institution license from Germany’s financial regulator BaFin in 2025, granting it a strong regulatory foundation to issue digital assets across Europe.
Institutional-grade digital Swiss franc enters the market
CHFAU is designed as a regulated digital Swiss franc tailored for institutional settlement and cross-border transactions. According to AllUnity, the token enables real-time, secure transfers of value across digital markets within a fully compliant environment.
The platform emphasized that CHFAU will support functions including liquidity management, treasury operations, and cross-border payments, offering financial institutions a stable and transparent bridge between fiat and crypto ecosystems.
While CHFAU is already technically live, its broader rollout will be phased through partnerships with exchanges and trading venues. The company confirmed that listing announcements will follow as integrations are completed.
AllUnity’s CEO Alexander Höptner described the launch as a cornerstone in building Europe’s regulated digital payments ecosystem, noting that institutional users have long awaited a compliant stablecoin alternative in Swiss francs.
AllUnity’s expansion follows the success of EURAU
AllUnity’s earlier euro-backed stablecoin EURAU, introduced in 2025, has demonstrated promising growth, reaching a market capitalization of $1.2 million within months. Though still modest in scale, it ranks among the top 20 euro-pegged stablecoins globally and is traded on both centralized and decentralized venues including Bullish, Aerodrome, Bitpanda, and Rulematch.
The steady adoption of EURAU underscores rising institutional demand for regulated digital settlement instruments in Europe. The total market capitalization of euro-pegged stablecoins has climbed to nearly $900 million, with Circle’s EURC leading the category.
The introduction of CHFAU extends AllUnity’s multi-currency stablecoin strategy, signaling a broader commitment to offering secure and compliant digital assets across major European currencies.
Competitive landscape for Swiss franc stablecoins
While AllUnity positions CHFAU as the first Swiss franc stablecoin fully aligned with MiCA, it enters a niche yet growing market. Existing tokens such as Frankencoin, VNX Swiss Franc, and Hedera Swiss Franc collectively account for a market capitalization of around $38 million, according to DefiLlama data.
Frankencoin remains the largest decentralized Swiss franc stablecoin, launched in 2023 and backed by the Frankencoin Association in Switzerland. Earlier projects like CryptoFranc by Bitcoin Suisse paved the way but failed to sustain adoption.
The difference with CHFAU lies in its regulatory clarity and institutional design. Backed by Deutsche Bank’s asset management arm DWS, Flow Traders, and Galaxy Digital, AllUnity brings together traditional finance expertise and crypto-native innovation to deliver a stablecoin that meets both compliance and market needs.
Building the foundation for regulated digital finance in Europe
The debut of CHFAU reinforces the shift toward a regulated digital financial infrastructure in Europe. As institutions seek stability, transparency, and compliance, assets like CHFAU provide a dependable gateway between fiat systems and blockchain networks.
By adhering to MiCA standards and securing licensing from BaFin, AllUnity sets a precedent for how European financial institutions can safely integrate digital currencies into their operations. The move also supports the broader European goal of nurturing a unified digital asset ecosystem governed by robust regulation.
With plans to expand CHFAU beyond Ethereum to additional networks later this year, AllUnity’s journey reflects the growing convergence of banking reliability with blockchain innovation. The stablecoin’s real-world utility for settlement, treasury management, and liquidity operations underscores how Europe’s financial future is steadily becoming programmable and interoperable.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards.
