Why a Swiss franc stablecoin and why now

CHFAU: the Swiss franc, on-chain

The EU generates more than CHF 1 billion in trade with Switzerland every working day, totalling around CHF 300 billion annually. Around 400,000 cross-border commuters earn CHF salaries in Switzerland and spend in euros at home across France, Germany, and Italy (1). European multinationals with Swiss operations like Roche or Nestle, run significant CHF/EUR treasury flows every quarter. 

The CHF corridor is one of the highest-volume currency relationships in global trade. It has had no regulated on-chain settlement layer until now. This creates inefficiencies, delays, and higher costs in cross-border transactions. It also limits transparency and real-time settlement, increasing counterparty and liquidity risks. 

CHFAU is AllUnity’s Swiss franc stablecoin: MiCAR-compliant, 1:1 backed by segregated reserves of CHF cash and high-quality liquid assets, redeemable at par value at any time. It is the first CHF stablecoin structured as an E-Money Token under EU regulation, issued by a BaFin-licensed e-money institution.

Why the Swiss franc, and why now

The Swiss franc holds its safe-haven status for specific reasons: decades of monetary discipline, persistently low inflation, and a central bank that has historically prioritized price stability over growth (2). In periods of global uncertainty, capital flows into CHF because it is trusted to hold its value. That makes it a deliberate reserve currency choice for institutional investors and corporate treasurers.

As macroeconomic and geopolitical uncertainty continues to reshape reserve currency preferences, the CHF’s structural stability makes it an increasingly attractive long-term hold. The dollar lost significant ground against major currencies including CHF in 2025, and conversations among European corporates about reducing reliance on dollar-denominated instruments have accelerated alongside that (3).

What CHFAU enables

Corporate treasury and liquidity management.

CHF/EUR supplier payments currently operate within banking cut-off times. Cross-border settlements wait for correspondent banking windows that run on schedules, not on the needs of the businesses using them. CHFAU settles 24/7 with direct transfers between senders and recipients, without correspondent banking intermediaries. For European businesses managing intercompany CHF flows or settling supplier invoices with Swiss counterparties, that removes multi-day clearing windows and the reconciliation overhead that comes with them.

Tokenized asset settlement.

Banks and asset managers settling tokenized securities need a regulated digital cash leg. CHFAU extends that model to public blockchain rails, providing a MiCAR-compliant CHF settlement asset for tokenised bonds, funds, and other instruments where the underlying obligation is denominated in Swiss francs. Settling against CHFAU removes the currency conversion step that dollar-based settlement assets introduce.

Global trade corridors beyond EUR/CHF.

Counterparties holding CHF as a safe-haven reserve currency, or settling Swiss-denominated invoices from Singapore to Seoul to São Paulo, have had no compliant on-chain CHF option. CHFAU provides global access to a regulated digital Swiss franc across those corridors, on open public blockchain rails, without requiring counterparties to be within a specific banking zone or jurisdiction.

What makes CHFAU different

MiCAR EMT status carries specific, legally defined obligations: a statutory right of redemption at par value at any time, mandatory segregation of reserves from the issuer’s operational funds, and ongoing oversight from supervisors. 

AllUnity does not charge minting or redemption fees. Verified Institutions access CHFAU via the AllUnity Mint Platform with straight-through processing in under five minutes, without an API integration required to start. The token is issued on public blockchain rails, not a proprietary network, which means it integrates with existing institutional custody infrastructure rather than requiring a bespoke setup.

FAQ

What is AllUnity?

AllUnity is a regulated e-money e-money institution (E-Geld-Institut) authorised by BaFin under § 11 ZAG and Article 48 MiCAR. Operating with full MiCAR-compliance, AllUnity delivers 1:1 fully backed stablecoins to bring the world’s currencies on-chain, including the euro and Swiss franc.

How are CHFAU Swiss franc stablecoins redeemed for Swiss francs?

Pursuant to Article 49 MiCAR, every CHFAU holder has a statutory right of redemption against AllUnity at par value at any time. Redemption is processed through the AllUnity platform after the holder has completed the registration and KYC/AML checks set out in AllUnity’s Redemption Policy. Once the compliance checks have been completed successfully, CHF will be transferred to a bank account held in the redeeming holder’s name. Full details are available at allunity.com/redemption-policy.

What makes CHFAU different from other Swiss franc-backed stablecoins?

CHFAU is a Swiss franc stablecoin issued by the regulated e-money institution  AllUnity. Its primary differentiator lies in its regulatory and structural classification:

Infrastructure: CHFAU is designed to be open, meaning it is issued on public blockchain rails to facilitate integration with institutional settlement systems, rather than being restricted to a single proprietary network.

Regulatory Status: Unlike decentralized or offshore stablecoins, the CHFAU Swiss franc stablecoin is classified as an e-money token (EMT) under EU law. This requires the issuer to maintain reserves fully backing CHFAU at par value, held in segregated accounts at regulated credit institutions in the form of CHF cash and/or high-quality liquid assets denominated in CHF.

Legal & Regulatory Protections: Under the MiCAR framework, holders have a statutory right to redemption at par value at any time.

What trade corridors is CHFAU relevant for beyond EUR/CHF?

Any corridor where one leg of the transaction is denominated in Swiss francs. Switzerland’s largest export sectors, pharmaceuticals and precision instruments, run significant flows internationally. Within the EU/EEA, eligible counterparties holding or settling in CHF can access CHFAU through Verified Institutions and listed trading venues. CHFAU is offered to the public in Germany and the EU/EEA host Member States listed in the CHFAU White Paper.

Is CHFAU available on chains other than Ethereum?

CHFAU launches on both Ethereum (as an ERC-20 token) and Solana. Expansion to additional blockchain networks – including further EVM-based and non-EVM-based chains – may follow.

Sources

(1) Federal Department of Foreign Affairs (FDFA) (February 2026 report)
(2) Bank for International Settlements (BIS) (April 2025 Central bankers’ speeches)
(3) SWI swissinfo.ch, part of Swiss Broadcasting Corporation (2026)

Legal Notice: 

This marketing communication has not been reviewed or approved by any competent authority of an EU Member State. AllUnity GmbH bears sole responsibility for its content. This content is directed exclusively at legal entities and business customers (B2B only) and does not constitute, and should not be construed as, an offer, solicitation or marketing of CHFAU in Switzerland or in any jurisdiction outside the European Union. AllUnity does not conduct targeted distribution or marketing activities in such jurisdictions. Any access to or use of CHFAU via third-party platforms occurs independently of AllUnity and does not constitute a public offering by AllUnity in those jurisdictions. This communication is for marketing purposes only and does not constitute an offer or recommendation to purchase e-money tokens (EMTs).

A White Paper under Art. 51 MiCAR has been published, containing all material information, including the EMT holders’ redemption right. 

The White Paper is available at: www.allunity.com/whitepaper 

Redemption Right: EMT holders are entitled at any time to redeem their tokens at par value against AllUnity GmbH in accordance with Art. 53(2) MiCAR.

Website: https://allunity.com/ 

Contact: support@allunity.com | +49 6934875407