DekaBank, a German bank, has announced the launch of cryptocurrency trading, custody, and management services for institutional investors.

The German bank DekaBank stated that it has initiated cryptocurrency trading, custody, and management services for institutional clients. According to Bloomberg, the crypto services are exclusively offered to institutional investors, excluding individual investors.

The Sparkassen group, of which DekaBank is a member, is still evaluating its approach to cryptocurrency trading for private clients. With a cryptocurrency custody license from the European Central Bank and Germany’s financial regulator BaFin, the bank positions itself as a secure option for institutional clients. Martin K. Müller, a member of DekaBank’s board, emphasized the bank’s necessary expertise, licenses, and ready-to-use infrastructure. Other banks in the Sparkassen group are also planning to enter the institutional cryptocurrency market in a similar manner. For instance, LBBW recently partnered with the crypto exchange Bitpanda to announce a platform for cryptocurrency custody and trading for corporate clients. However, the stance towards retail investors remains uncertain. Although the sector has previously shied away from such offerings, it is currently reassessing its position. According to Bloomberg, cooperative banks led by DZ Bank in Germany are planning to offer cryptocurrency services to all retail clients towards the summer months. DekaBank points out that institutional investors can professionally manage the risks of cryptocurrency investments and that the sector offers strategic opportunities. The bank particularly emphasizes cryptocurrency investments in terms of portfolio diversification, highlighting that this new service will provide significant advantages to institutional clients.