Deutsche Bank, the largest bank in Germany, is launching a cryptocurrency custody service and a platform for issuing tokens. The services are intended for the institutional clients of the bank.
With it, the German financial conglomerate intends to offer its clients the following services:
- Management of an array of digital and fiduciary money.
- Hot and cold wallet security with optional insurance.
As of October 2020, Deutsche Bank’s crypto custody was in proof of concept status. However, the product’s status now remains unknown.
German treasure trove of cryptocurrencies
It is expected that the project will pay off through commissions, including storage, tokenization, and trading fees. At the start, the financial institution will offer verified cryptocurrency services on behalf of institutional investors.
Subsequently, Deutsche Bank intends to provide an opportunity to buy and sell cryptocurrency through partnerships with brokers, issuers, and crypto exchanges. As part of the transition to the crypto market, Deutsche Bank will also provide additional services in the form of tax calculation, lending, staking, etc.
It is noteworthy that in the future, the financial conglomerate even plans to provide an opportunity to issue its own digital currencies. The sandbox will include a full suite of KYC/AML, regulatory compliance, and more.
Deutsche Bank’s move towards the virtual asset market is in line with the bank’s previous statements. In September 2020, the bank ‘s specialists noted that central banks digital currencies () will significantly affect financial relationships around the world. It is worth noting that Deutsche Bank pointed out in December 2019 that digital currencies were inevitable.
According to forecasts of the financial conglomerate, cryptocurrencies will become the cornerstone of the modern world economy in the next decade.
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