DZ Bank has launched a blockchain platform that will allow institutional clients to access tokenized securities and other digital assets.
DZ Bank, Germany’s third largest financial conglomerate, has announced the launch of a platform for institutional clients based on distributed ledger technology (DLT). The new custody solution will provide the institution’s customers with access to store and manage digital assets.
According to Holger Meffert, Head of Securities Services and Digital Custody at DZ Bank, the new tool will enable the bank’s customers to quickly and easily add various digital assets, such as tokenized securities, to their financial portfolios. In the future, the blockchain platform will be used to purchase cryptocurrencies, accessible to both institutional investors and private clients. Meffert said that the bank has already applied to the German Federal Financial Supervisory Authority (BaFin) for the appropriate license.
Financial institutions of the Federal Republic of Germany express interest in cryptocurrencies and blockchain. Thus, Deutsche Bank (DBK), the largest local TradFi entity, has also recently applied for a BaFin license. Other applicants for permission to store digital assets from the local regulator also include DekaBank and Commerzbank.
The interest of TradFi participants in digital assets is directly related to the growing popularity of cryptocurrencies in the country. Germany was recognized as the country with the lowest taxes on cryptocurrencies and the most crypto-friendly jurisdiction in the world in 2022. Read more about the German crypto market in this article by CP Media.
