German Banking Group Plans to Launch Crypto Trading Services
One of the largest banking groups in Germany is set to introduce crypto trading services for interested customers this year. The cooperative financial group, consisting of over 700 local banks, specialized service providers, and institutions, intends to enter the pilot phase of the project soon.
DZ Bank Takes the Lead
DZ Bank, the central bank overseeing the project, will spearhead the implementation of crypto trading within the cooperative financial network. Souad Benkredda, responsible for capital market operations on the central bank board, stated that primary banks would soon begin test trading Bitcoin (BTC) and a variety of other cryptocurrencies with customers.
“We will enter the pilot phase for retail trading of cryptocurrencies with the first cooperative banks… We don’t just want to offer trading of one cryptocurrency, but a variety of cryptocurrencies. This is important to us,” Benkredda explained.
Initially, DZ Bank planned to collaborate with Deutsche WertpapierService Bank AG (DWP Bank) for this project. However, they have since chosen a new partner whose identity remains undisclosed.
An Opportunity for Independent Decision Making
The upcoming crypto trading services will empower customers to make independent decisions regarding their crypto assets. Benkredda emphasized the strong demand for such services among cooperative banks, citing a study by the Geno Association that revealed every second bank wants to activate this solution for their customers. However, each institution must make its own decision.
While cooperative banks are eager to introduce crypto products, German savings banks have taken a more cautious approach. In fact, their committees have advised against offering crypto trading services to their customers.
This move by the cooperatives follows DZ Bank’s partnership with Swiss firm Metaco and orchestration platform Harmonize last year. Together, they provided digital asset custody services to institutional clients, using a platform selected through a thorough proof-of-concept and diligence process.
Hot Take: German Banking Group Explores Crypto Trading Services
A major German banking group is making strides in the crypto space by planning to launch crypto trading services. The project, led by DZ Bank, aims to provide customers with the opportunity to trade various cryptocurrencies independently. The move comes as cooperative banks express a strong desire to offer such services to their customers. However, German savings banks remain more cautious about venturing into the crypto market. This development follows DZ Bank’s successful partnership with Metaco and Harmonize to offer digital asset custody services. With this new initiative, German banking customers can look forward to greater access and options in the crypto market.
By
By
By