Through its platform, the German bank will offer custody, as well as trading and loans. Deutsche Bank’s comprehensive platform’s appearance was in the World Economic Forum report.
The World Economic Forum (WEF) report, published in December 2020, Deutsche Bank, Germany’s largest bank, has now shown its plans to offer cryptocurrency custody and trading service.
The report claims that the German bank provides all the data about the plan. It has to launch a comprehensive platform, where one of the functions will be to safeguard institutional clients’ cryptocurrencies. The document shows every proposed objective for this project and every stage the platform will go through before its launch.
Offering Loans, Tax Quotations, and Many other Features
Deutsche Bank will offer loans, voting, valuation, and tax quotation services by the custody service. Also, there is a possibility of buying and selling cryptocurrencies safely.
The platform aims to serve as a bridge between the traditional and digital worlds and be a provider granting easier accessibility and high-security KYC, AML (Anti-money laundering), and compliance liquidation.
Regarding the launch of the platform, it will consist of four diverse stages four. The first one is providing custody of secured and approved digital assets on behalf of investors such as asset managers, wealth managers, family offices, corporations, and digital funds.
The second stage is the accessibility of buying and selling digital assets through a partnership with significant brokers, issuers, and exchange houses to build seamless cross-platform integration.
The third one aims to provide value-added services like taxes and valuation, administration funds, loans, participation, voting, and offer an open banking platform to allow external providers’ integration. And the last one provides emission and trading capabilities.
The project of the bank has already completed the proof of concept (POC) stage, so the launch of the platform is about to happen this year. Thus, the German bank intends to bring together its user’s assistance with their investments while integrating into the digital economic system.
Big Banks are Opening their Doors to Bitcoin
Other banks have joined the initiative to create a custody service; one of them is New York Mellon, one of the biggest banks in The United States. The bank made the following statement:
“Growing client demand for digital assets, the maturity of advanced solutions, and improving regulatory clarity present an important opportunity for us to expand our current service offerings to this emerging field.”
The announcement appeared after Elon Musk’s Tesla claimed he had bought $1.5 billion worth of the cryptocurrency and would soon accept it as a means of payment for its cars. This statement created a big push for digital assets and fed the interest of many traditional investors.
Another important Bank that entered the cryptocurrency world was Citibank, which had already been exploring this possibility for two years.
By: Jenson Nuñez