DekaBank has obtained a significant crypto custody license from BaFin and the European Central Bank (ECB), opening new opportunities in the crypto industry.
DekaBank's License
The license was granted under the Banking Act (KWG). DekaBank joins Commerzbank as one of the few traditional German banks to provide such services, ensuring a high level of legitimacy compared to smaller crypto firms. In July, DekaBank also acquired a crypto securities registrar license, allowing it to issue digital assets in Germany.
Crypto Regulation in Germany
Germany's slow but steady approach to cryptocurrency regulation is paying off. In 2013, it was one of the first countries to recognize cryptocurrencies as financial instruments. The new KMAG legislation, passed on December 18, replaces old rules with the new European MiCA standard. The regulation ensures high market transparency despite political delays.
Current Crypto Market Scenario in Germany
Despite instabilities, the market is active. A survey showed 54% of investors allocate over 20% of their portfolios to digital assets. Bitcoin remains the most popular among investors, but interest in Solana is growing. This year, the German market witnessed a notable event when the government sold 49,858 BTC for $2.89 billion.
Securing a crypto custody license from BaFin and ECB positions DekaBank advantageously in the market, boosting its standing among traditional financial institutions and offering new opportunities for expansion in the crypto industry.
