DekaBank Expands Into Crypto Services for Institutional Clients

•  DekaBank enters crypto as the German bank now offers secure digital asset services to institutional clients while excluding private buyers
•  Germany’s crypto push continues with major banks like LBBW and DZ Bank expanding access while some prepare retail-focused trading solutions
• Global trend grows as US policies and European banks drive institutional crypto adoption while Czech officials explore Bitcoin reserves

DekaBank, a major German investment bank managing €377 billion ($395 billion) in assets, now offers cryptocurrency services to institutional clients. The Frankfurt-based institution secured a digital asset custody license under the German Banking Act. 

The European Central Bank and BaFin granted approval, ensuring compliance with financial regulations. However, private buyers remain excluded from this offering. The bank aims to provide secure crypto transactions, attracting institutional investors with robust risk management.

Germany’s Institutional Crypto Adoption Grows

Several German financial institutions are advancing into digital assets. Landesbank Baden-Württemberg (LBBW) partnered with Bitpanda to offer crypto services to corporate clients. Meanwhile, Volksbanken and Raiffeisenbanken plan to provide crypto access for retail customers by summer. DZ Bank, Atruvia, and the Stuttgart Stock Exchange are developing this retail-focused crypto trading system.

DekaBank Board Member Martin K. Müller emphasized the bank’s readiness. He stated that DekaBank possesses the expertise, licenses, and infrastructure to support institutional clients and savings banks. The institution believes large investors have the necessary experience, capital, and systems to handle crypto-related risks effectively.

Global Crypto Expansion Continues

The United States is also pushing toward a crypto-friendly regulatory environment. Former President Donald Trump’s administration encouraged financial institutions to explore digital assets. Consequently, this trend is influencing European institutions like DekaBank.

Other financial entities are making similar moves. Binance US reinstated USD deposits and withdrawals for eligible users. This return, after nearly two years, strengthens the link between traditional finance and cryptocurrency. The service will gradually expand, offering more accessibility to users.

Czech National Bank Explores Bitcoin Reserves

Aleš Michl, Governor of the Czech National Bank (CNB), reignited discussions on Bitcoin reserves. He proposed a feasibility study for a Bitcoin test portfolio. His approach aims to explore alternative asset reserves while understanding digital financial market dynamics.

Michl advised caution regarding crypto investments, citing market infancy. He compared the sector to early investment funds from the 1990s, where many failed while others thrived. However, he distinguished Bitcoin from other cryptocurrencies. He argued that central bankers should analyze Bitcoin’s technology and potential benefits.