DekaBank Receives Crypto Custody License in from BaFin and ECB
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DekaBank secures crypto custody license in Germany from BaFin and ECB. It has expanded its role in digital assets and EU crypto operations. DekaBank has received a cryptocurrency custody license from the German regulator BaFin and the European Central Bank (ECB). This is a significant development in the world of crypto. Commerzbank was the first bank in Germany to receive this license last year. However, like many other large banks, DZ Bank still does not possess this license. Other licensees include 11 other crypto custody licenses that BaFin has granted to crypto related firms. An example is Hauck Aufhäuser Lampe Privatbank which started a subsidiary, specialising in digital asset custody. But there are some significant differences: DekaBank and Commerzbank. While the above firms remain unregulated, the above banks operate under the Banking Act (KWG). This one is the second new license that DekaBank gets this year alone. In the middle of July, it got approved as the crypto securities registrar. It also has this license that enables it to deal with DLT based digital securities. These issues of digital securities have no need of a Central Securities Depository or CSD to hold them. DekaBank Leads Germany in Digital Asset Services with New License It should also be noted that DekaBank has participated in the provision of services related to digital assets. It established the blockchain platform for the digital securities SWIAT. SWIAT’s investors are Standard Chartered and LBBW. In September, the company used the platform to launch a digital bond worth €300 million Siemens. In essence, a crypto custody license is not expected when dealing with crypto securities but crucial when dealing with cryptocurrencies. The new license grants DekaBank the freedom of functioning throughout the European Union under the copyright law of MiCAR legislation on crypto. The new regulation seeks…
Filed under: News - @ December 23, 2024 5:27 pm