HomeNewsBreaking News: Deutsche Bank, with $1.4 Trillion in Assets, Seeks Crypto Custody...

Breaking News: Deutsche Bank, with $1.4 Trillion in Assets, Seeks Crypto Custody License for Bitcoin, Ethereum, and Ripple (XRP)

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  • Deutsche Bank has applied for a regulatory license to operate a custody service for digital assets, including cryptocurrencies.
  • The move aligns with the bank’s strategy to expand income from digital asset offerings and follows similar efforts by other financial institutions in the industry.

Deutsche Bank, with its $1.4 trillion in assets under management, has joined the growing list of traditional financial institutions expanding their services to include cryptocurrencies. The German bank has recently applied for a regulatory license that would allow it to operate a custody service for digital assets, including cryptocurrencies.

David Lynne, the Global Head at Deutsche Bank’s Corporate Bank, revealed the bank’s plans during a conference, stating,

“We’re building out our digital assets and custody business. We just put our application into the BaFin for the digital asset license.”

BaFin refers to Germany’s securities watchdog, responsible for overseeing financial activities in the country.

This move by Deutsche Bank is part of its broader strategy to increase fee income and follows the footsteps of its investment arm, DWS Group, which has been focusing on digital asset-related offerings. The bank recognizes the potential in the cryptocurrency market and aims to tap into the growing demand for custody services for digital assets.

The application for a digital assets license demonstrates Deutsche Bank’s commitment to expanding its presence in the crypto industry. It is noteworthy that despite previous research reports from the bank expressing concerns about the volatility of Bitcoin and its reliability as a store of value, Deutsche Bank is now actively pursuing the provision of custodial services for digital assets.

Deutsche Bank’s move aligns with the industry-wide trend of established financial institutions venturing into the crypto custody space. Other major players, including Ripple, Standard Chartered, Nasdaq, BNY Melon, Fidelity, and BNP Paribas, have also recognized the growing demand for regulated custodial solutions in the cryptocurrency market.

With institutional participation in the crypto space on the rise, the demand for secure and regulated custodial services is increasing. Deutsche Bank’s application for a regulatory license positions the bank to cater to this demand and compete with other players in the industry. The move comes at a time when renowned financial giants like BlackRock and Fidelity are also expressing their intent to enter the crypto market.

While regulatory clarity and easing rules in Germany are further facilitating crypto adoption by its citizens, Deutsche Bank’s entry into the cryptocurrency custody service space showcases the bank’s confidence in the future of digital assets and its commitment to meeting the evolving needs of its clients.

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AnnJoy Makena
AnnJoy Makenahttps://www.ethnews.com
Annjoy Makena is an accomplished and passionate writer who specializes in the fascinating world of cryptocurrencies. With a profound understanding of blockchain technology and its implications, she is dedicated to demystifying complex concepts and delivering valuable insights to her readers. Business Email: info@ethnews.com Phone: +49 160 92211628