Over 40 German Banks Are Interested in Crypto Asset Custody
More than 40 German banks are interested in digital asset custody licenses after the entry into force of the new law earlier this year, the local publication Handelsblatt reports.
German authorities have responded to the Fifth EU Anti-Money Laundering Directive by allowing regulated financial institutions to operate cryptocurrencies such as Bitcoin and Ethereum, along with stocks and bonds. According to the definition, cryptocurrencies are digital representations of a value that has not been issued or guaranteed by any central bank or public body and does not have the legal status of currency or money. Not only cryptocurrencies are included, but also tokens or coins, which are treated as crypto assets.
The high level of demand for crypto-custodial licenses, on the one hand, shows that companies are increasingly adopting blockchain technology, but also the result of new legislation.
According to Handelsblatt, the German Federal Financial Supervisory Authority (BaFin) has already received over 40 banks' interests in the future crypto-custodian business.
Author: Marko Vidrih
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