Deutsche Bank clients could start soon offering crypto custody services to users. In a recent report released by the World Economic Forum, they explain that the bank wants to develop a custody platform for institutional clients and their digital assets. This could be one of the first banks offering crypto-solutions to users around the world.
Deutsche Bank Could Develop a Crypto Custody System
The report released by the World Economic Forum explains that the bank could introduce a securely connected bridge between virtual currencies and traditional banking services. Nowadays, the crypto and banking industries are certainly not linked. It is usually difficult to get from one industry to the other or vice-versa.
In addition to it, they want to manage different crypto and fiat assets for clients. They want to do so through an easy-to-use platform and create a gateway for value-added services. This can be achieved by a custodian or third-party providers.
Nonetheless, the report explains that the project is expected to be focused on institutional investors. Some of these investors include asset managers, wealth managers and family offices and corporate and digital funds. The bank will be protecting users’ funds through institutional-grade hot/cold storage wallets with insurance-grade protection.
In the future, the Deutsche Bank could eventually provide clients with the possibility to get access to digital assets through partnerships linked to different brokers and exchanges in the market. In this way, it would be possible to create a seamless integration with different platforms.
Additionally, the bank could also provide other services including taxation, valuation services and fund administration. Considering we are talking about a bank, strict KYC and AML regulations will apply for clients that want to get access to these services.
Furthermore, the platform would also focus on UX and CX. The goal is to offer an easy-to-use and intuitive platform for investors that want to access the market. Crypto trading platforms have certainly improved their user interface in recent years.
As per the report released by the World Economic Forum, the solution should be ready to reach the market in 2021. However, pilot testing of this initiative could also take place this year. At the moment, there is no official information from Deutsche Bank about this project. However, we could see some information in the coming months.
If Deutsche Bank finally informs about this initiative, it might be possible for its stock to move higher. In recent years we have seen how several stocks skyrocketed as companies announced crypto or blockchain implementations or projects.