Deutsche Börse Group and Circle Internet Financial have announced a strategic collaboration through a Memorandum of Understanding (MoU) to integrate Circle's regulated stablecoins, EURC and USDC, into Deutsche Börse's financial market infrastructure. This marks the first partnership between a major European market infrastructure provider and a global stablecoin issuer, enabled by the EU's Markets in Crypto-Assets Regulation (MiCAR), which Circle was the first major issuer to comply with in July 2024.
Initial initiatives include listing and trading on 360T's digital exchange 3DX and via institutional provider Crypto Finance, both Deutsche Börse subsidiaries, along with institutional-grade custody through Clearstream, leveraging Crypto Finance's German entity as sub-custodian. The collaboration aims to create seamless workflows across execution, settlement, and custody, reducing settlement risk, lowering costs, and improving efficiency for banks, asset managers, and broader market participants.
Jeremy Allaire, Co-Founder and CEO of Circle, stated, "We're planning to advance the use of regulated stablecoins across Europe's market infrastructure—reducing settlement risk, lowering costs, and improving efficiency." Stephanie Eckermann, Executive Board Member of Deutsche Börse, emphasized the move toward "integrating stablecoins into regulated, reliable, and trusted infrastructure" to transform traditional processes into digital experiences. This initiative aligns with Deutsche Börse's digital leadership strategy, following its expansion in cryptocurrency services and involvement in ECB wholesale CBDC trials.
The partnership comes amid reports of potential EU restrictions on multi-issuer stablecoins, though the ESRB's non-binding recommendation has not been formally adopted. In contrast, Tether has refused MiCAR compliance, highlighting Circle's regulatory alignment. Benefits for European capital markets include real-time token-based payments, enhanced cross-border efficiency, and expanded access to regulated stablecoins, positioning Europe as a leader in digital finance adoption.
