Deutsche Bank AG applied for a digital assets license with Germany’s financial regulator, BaFin.
Regulatory permission would allow the bank to operate a custody service for digital assets, including cryptocurrencies.
David Lynne, head of Deutsche Bank's commercial banking unit, noted the bank's application during a conference on Tuesday, Bloomberg reported. “We’re building out our digital assets and custody business,” Lynne said. “We just put our application into the BaFin for the digital asset license.”
The bank's move aligns with its broader strategy to increase fee income and mirrors similar digital asset-focused efforts at its investment arm, DWS Group, Lynne said.
Deutsche Bank has been eyeing the introduction of digital asset custody since late 2020, in contrast to its research reports from earlier that year in which it said bitcoin is “too volatile” to be a “reliable” store of value.
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