According to a BNN Bloomberg report, Deutsche Bank – a leading global financial institution – recently submitted an application to German securities regulator, Bafin, requesting approval to provide custody services for digital assets, including cryptocurrencies.
The move is part of the bank’s broader strategy to diversify its revenue sources and boost the fee income of its Corporate Banking unit.
David Lin, Head of Commercial Banking at Deutsche Bank, Certain Application during a recent conference. He explained that the foundation is in the process of expanding our digital assets and custody business.
Lin further explained that the bank has formally submitted the application for a digital asset license to Bafin.
This initiative is in line with the bank’s previous hints towards offering digital asset custody.
The bank’s institutional division, under the leadership of Stefan Hobbs, first proposed plans to introduce a digital asset custody service in late 2020. However, the bank did not provide a specific launch timetable for the service.
Lin took over the division a year ago when Hobbs moved on to become CEO of Deutsche Bank’s investment arm, DWS Group.
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The DWS Group is also making strides in the digital asset space, and is seeking to increase its income from digital asset related offerings.
Deutsche Bank’s move reflects the growing interest and acceptance of digital assets in the traditional financial sector.
While the bank is awaiting regulatory approval, it continues to focus on its growth strategy, with digital assets playing an important role in its future plans.