$536,000,000,000 Banking Giant Commerzbank to Offer Crypto Custody for Bitcoin, Ripple’s XRP, IOTA, and More
Commerzbank becomes the first full-service bank in Germany to receive a Crypto Custody Licence.
The license allows Commerzbank, with $536,000,000,000 in assets under management, to offer a wide range of digital asset services, especially in crypto assets like Bitcoin, XRP and IOTA.
In a groundbreaking development, Commerzbank has achieved a significant milestone by becoming the first German full-service bank to be granted a Crypto Custody Licence, as per the German Banking Act (KWG). This licence empowers the bank, which manages assets worth $536,000,000,000, to create a diverse portfolio of digital asset services, with a particular focus on Bitcoin (BTC), Ripple’s XRP, Ethereum (ETH), IOTA, VeChain and others.
Massive #Ripple Adoption
$536,000,000,000 Banking Giant #Commerzbank becomes the first German full-service bank to receive a Crypto Custody license, allowing it to store #Bitcoin (#BTC), #XRP, and #Ethereum (#ETH) for institutional clients! pic.twitter.com/3OM5gTY8qD
— Collin Brown (@CollinBrownXRP) November 16, 2023
A New Era for Digital Asset Management
This move by Commerzbank marks a pivotal moment in the integration of blockchain technology into traditional banking services in Germany. The bank’s initial step is to develop a secure and regulatory-compliant platform to offer its institutional clients robust custody for crypto assets. This initiative reflects Commerzbank’s commitment to leveraging modern technologies and innovations in the rapidly evolving domain of digital assets:
Now that we have been granted the licence, we have achieved an important milestone. This highlights our ongoing commitment to applying the latest technologies and innovations, and it forms the foundation for supporting our customers in the areas of digital assets,
commented Dr Jörg Oliveri del Castillo-Schulz, Chief Operating Officer of Commerzbank.
The acquisition of this licence by Commerzbank is not just a solitary event but part of a broader trend in the global banking sector’s approach to digital assets. For instance, Deutsche Bank, Germany’s largest banking institution, has entered a partnership with Swiss-based digital asset custodian Taurus to provide crypto custody services.
This collaboration enables Deutsche Bank to hold cryptocurrencies and tokenized traditional financial assets for its clients. Such moves underscore the growing importance and potential of the digital asset space, expected to encompass trillions of dollars, thus becoming a priority for investors and corporations alike
Internationally, similar developments are unfolding. BNY Mellon in the United States has collaborated with Fireblocks to offer custody services for Bitcoin and Ethereum, demonstrating a widespread recognition and adoption of crypto custody services among leading global banks.
Commerzbank’s strategic steps in this direction signify a transformation in the banking industry, reflecting an increasing acceptance and integration of digital assets into mainstream financial services. This transition illustrates the sector’s evolving stance towards blockchain technology, highlighting the potential for other banks to follow suit in embracing digital asset services.
Filed under: Bitcoin - @ November 16, 2023 6:10 am