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Under the terms of the partnership with Commerzbank, Crypto Finance will handle trading services, while the bank will focus on the custodianship of assets.
Key Notes
Commerzbank has officially entered the crypto market with the launch of Bitcoin and Ethereum trading services to corporate businesses.The bank signed a strategic partnership with Deutsche Börse's Crypto Finance to enable institutional customers buy the two leading digital assets.Commerzbank obtained a regulatory license in November 2023 to enable it provide full suit of crypto services including custody.With the licence, the bank plans to be the sole custodian of users assets, purchased through Crypto Finance..Commerzbank, one of Germany’s largest financial institutions, has officially expanded its offerings to include cryptocurrency custody and trading services after years of observation from the sidelines.
According to an official announcement on Thursday, the bank has partnered with Crypto Finance, the digital asset arm of Deutsche Börse, to provide these services to its corporate clients. Initially, the company will support Bitcoin BTC $62 714 24h volatility: 4.7% Market cap: $1.24 T Vol. 24h: $45.44 B and Ethereum ETH $2 437 24h volatility: 5.9% Market cap: $293.26 B Vol. 24h: $19.69 B , two of the largest cryptocurrencies by market capitalization, with plans to expand to additional assets in the future.
Instructional Focus
The new crypto services will be exclusively available to Commerzbank’s institutional customers. As part of this offering, the bank will act as the custodian for the digital assets.
According to the announcement, the firm will provide a compliant, secure platform designed to protect users’ funds from malicious actors and cyber threats, which are prevalent in the crypto market.
Recall that, Commerzbank secured a banking license in November 2023 from German authorities, enabling it to offer a full suite of crypto-related services, including custody solutions.
Following the license approval, the bank has now fully entered the crypto space with its partnership with Deutsche Börse’s Crypto Finance. The platform was launched in 2017 to serve institutional investors with trading and custody solutions.
However, under the terms of the partnership with Commerzbank, Crypto Finance will handle trading services, while the bank will focus on the custodianship of assets.
Crypto Finance will develop a new solution tailored specifically for Commerzbank to provide a seamless trading experience to the bank’s users who will be purchasing both BTC and ETH for the first.
“With a solution tailored to Commerzbank, we are reinforcing our commitment to offering secure digital asset solutions across Europe. We are very much looking forward to the collaboration and to supporting the growing demand for institutional crypto services in Germany and the EU,” said Stijn Vander Straeten, CEO of Crypto Finance.
A Significant Milestone in Germany’s Crypto Market
Straeten also highlighted that the partnership with Commerzbank represents a major milestone, as it grants more users in Germany access to regulated crypto services. Germany has long been recognized for its open stance on crypto adoption.
According to the Crypto Adoption Index by Statista, the country ranked among the top 20 nations globally for digital asset adoption in 2022. The ranking was based on various factors, including transaction volumes and engagement in both centralized and decentralized activities.
However, Germany dropped out of the top 20 in 2023. Despite this decline, banks in the region remain committed to embracing the crypto economy.
Earlier today, DZ Bank, Germany’s second-largest financial institution, announced a partnership with Boerse Stuttgart Digital to offer crypto services to institutional clients.
According to the announcement, this agreement will enable DZ Bank’s 700 cooperative institutions to provide their retail customers with the ability to trade and securely store cryptocurrencies in licensed fiduciary custody.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Chimamanda is a crypto enthusiast and experienced writer focusing on the dynamic world of cryptocurrencies. She joined the industry in 2019 and has since developed an interest in the emerging economy. She combines her passion for blockchain technology with her love for travel and food, bringing a fresh and engaging perspective to her work.
