With Taurus, Deutsche Bank, the biggest bank in Germany, has made it official that it will offer custody services for the cryptocurrency industry.
Deutsche Bank and Taurus Join Forces to Provide Custody Services to the Cryptocurrency Industry – 2023
Despite the inherent volatility and effects of the FTX collapse, the digital asset sector has experienced amazing growth this year. The focus on regulatory issues has prompted conventional financial institutions to look into the potential in the digital asset market.
Following the application for a digital asset license in Germany by Deutsche Bank, this alliance shows the bank’s dedication to entering the world of cryptocurrencies and blockchain technology. This entrance into cryptocurrency custody, which has a large presence in the traditional financial industry, is a turning point in the changing financial landscape.
Deutsche Bank Sees Partnership as a Strategic Move
To put it mildly, Deutsche Bank’s asset management portfolio is large, with a management volume of more than 1.3 trillion Euros (roughly $1.4 trillion). The bank’s choice to support cryptocurrency custody is evidence of the rising significance of digital assets, especially given its imposing position on the world’s financial markets. In order to diversify its service offerings and satisfy its clients’ changing demands, Deutsche Bank has strategically partnered with Taurus.
We won the deal a couple of quarters ago, so the bank became a client and then decided to take a stake in Taurus. The partnership focuses on cryptocurrencies, but we are well known for going beyond cryptocurrencies. So, where it sees fit, the bank will be able to tokenize assets and provide asset servicing.
Lamine Brahimi, Taurus co-founder
Importance of this Cooperation
The decision by Deutsche Bank to collaborate with Taurus emphasizes how crucial it is to pick a partner with experience in blockchain and cryptocurrencies. It was stressed by Paul Maley, global head of securities services at Deutsche Bank, that traditional finance must change to meet the changing demands of customers.
Maley said in a statement that investors are likely to view the switch to cryptocurrency custody as one of their top objectives. In order for custodians to better help their clients, he also emphasized the significance of change. Deutsche Bank will be able to effectively include cryptocurrency management into its current offerings thanks to its relationship with Taurus. This integration covers a wide range of cryptocurrencies, tokenized assets, and digital currencies. Because of this, Deutsche Bank will be in a good position to satisfy the various demands of its clients, whether they are institutional investors or private clients looking for exposure to the markets for digital assets.
In the first instance, we will offer custody for selected crypto currencies and some stablecoins. We expect the first wave of activity to be around these selected cryptocurrencies and stablecoins. However, we see the opportunity in the broader emergence of tokenized financial assets,
Maley
The Importance of Partnership
Not only for Deutsche Bank, but also for the financial sector as a whole, this strategic collaboration is certain to have far-reaching effects. As speculative assets rather than genuine elements of a balanced financial portfolio, it will represent a dramatic shift in how people see cryptocurrencies. The proactive approach to regulatory compliance used by Deutsche Bank will definitely serve as a model for other financial institutions looking to enter the digital asset market.
About Deutsche Bank
German international investment bank and financial services provider Deutsche Bank AG, also known as just Deutsche, is based in Frankfurt, Germany. It is dual-listed on the Frankfurt Stock Exchange and the New York Stock Exchange. To private individuals, small and medium-sized businesses, corporations, governments, and institutional investors, the bank offers retail and private banking, corporate and transaction banking, lending, asset and wealth management products and services, as well as focused investment banking.
About Taurus
Taurus, a company founded in 2018, offers enterprise-grade infrastructure for digital assets, including cryptocurrencies, tokenized assets, NFTs, and digital currencies, to be issued, held in custody, and traded.
Leave a comment