Germany's largest bank takes important step with Bitcoin and other cryptos

Deutsche Bank has officially launched its new cryptocurrency custody service. Germany's largest bank now offers paying corporate and institutional customers the opportunity to keep digital assets safe. With this, the bank is taking an important step towards the crypto market, where traditional financial institutions are becoming increasingly active.

Deutsche Bank announced on Wednesday 11 November that its digital asset services are now operational.

For the time being, the bank focuses on large companies and professional investors in Europe. It involves the secure storage and management of crypto coins, including Bitcoin (BTC) and Ethereum (ETH).

In September, Deutsche Bank announced the plans for the first time. At the time, the launch was still subject to regulatory approval.

The new service should provide customers with a regulated environment in which they can store their digital assets without having to manage the technical infrastructure of a crypto wallet themselves. The service is not intended for private customers for the time being.

In the end, Deutsche Bank wants to go much further than just storing crypto coins. According to Paul Maley, global head of trust and securities services at the bank, the goal is to develop a fully integrated and regulated system for digital assets.

In it, customers should not only be able to store crypto, but also be able to digitize traditional financial assets and settle transactions via blockchain technology.

This process is known as tokenization. For example, shares or bonds are converted into digital tokens. Deutsche Bank is also exploring opportunities to expand its services to Asia at a later date.

The bank also announced on Wednesday that it was investigating a collaboration with asset manager Deutsche Asset Management, formerly known as DWS.

Both parties have signed a letter of intent to explore commercial and technical opportunities around digital assets. For the time being, this is an exploration. Concrete products or a timetable for further cooperation have not yet been announced.