From 2020, the sale and custody of Bitcoin will be allowed to all German banks

[fillippone]

This is one of the most bullish news I've heard recently:

From 2020, the sale and custody of Bitcoin will be allowed to all German banks

So far, there was a clear legal separation between the normal regulated banking and crypto transactions. The custody and trading of Bitcoin and Kryptos has until now always been outsourced to specialized partners or subsidiaries with appropriate licenses. By 2020 all German banks should be redeemed.

If all German banks can suddenly sell bitcoin to their customers with a few clicks from 2020, that is a big digital transformation of the traditional banks. It could finally enable the bitcoin and blockchain industry in Germany to compete on equal terms with other states. Although the Federal Council still has to approve the new law, the approval is considered certain.

It makes a lot of sense for a Bank to sell Bitcoin.


But why would make it sense from a customer point of view?
Well, we are on bitcointalk.org forum, so I guess you are not the person to convince to hold bitcoin.
But the average German man of the street. Well, there is at least one reason:


Survey: 58% of German Banks Charge Negative Interest Rates

Germany’s central bank, the Deutsche Bundesbank, has conducted a survey of banks charging negative interest rates on customer deposits. Some are charging retail customers as well as corporate clients.

A growing number of German banks are passing on the burden of negative interest rates to their customers as the European Central Bank (ECB) continues to maintain a negative interest rate policy (NIRP). The current ECB deposit rate is -0.5%, the lowest on record.

Pay to leave your money in the bank, or be your own bank and gain from a deflationary currency? The choice is yours!

Custody is the most basic business for the banks. In the middle ages banks were born to take custody of the gold of merchant and allow them to travel safely.
The same is true today, where banks must enter the world of cryptos and bootstrap a digital gold economy.
Also is a sheer change of prospective from regulators, who finally understood the competitive advantage a bank could have over the competition being on the edge of this technology, that, in a way or in the other, will encounter mass adoption.

Edit:
Additional link:
GERMAN BANKS COULD STORE BITCOIN AND PROVIDE CRYPTO SERVICES SOON

Original link from the Handelsblatt (in Deutchsche)
 German banks to offer Bitcoin custody by 2020

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[dothebeats]

This is, without any sugarcoating a good news all in all. Germany trying to integrate cryptocurrencies into traditional banks will make people believe in the said cryptocurrency more, knowing that the government has just given a green light for such. Either way, it may or may not receive the attention and traction it needs to get a boost, considering that fiat and banks are still the most trusted combination of people who don't know anything about bitcoin. It will take time, though people would soon realize the that it can work, albeit a slightly absurd way of handling things (banks handling a coin that promotes people to 'be their own bank')

[fillippone]

This is, without any sugarcoating a good news all in all. Germany trying to integrate cryptocurrencies into traditional banks will make people believe in the said cryptocurrency more, knowing that the government has just given a green light for such. Either way, it may or may not receive the attention and traction it needs to get a boost, considering that fiat and banks are still the most trusted combination of people who don't know anything about bitcoin. It will take time, though people would soon realize the that it can work, albeit a slightly absurd way of handling things (banks handling a coin that promotes people to 'be their own bank')

I wouldn't be so sure banks don't know anything about bitcoin.
Banks have a lot of people looking into bitcoin, even if they cannot uffcially do anything touching bitcoin.
But they have a dying business model, and they have a lot of money to be put at work.
We might be suprorised on that front.
And, as I often repeat:

It's not Bitcoin that need Wall Street, it is Wall Street that needs Bitcoin.

[error08]

If the government has spoken, then it's a goods sign for bitcoin acceptance, hopefully it would be accepted.
However, one thing to note is the EU commission decision, because; EU law is always above the national law of the member states and therefore Germany now has to submit to the fourth EU money laundering directive.
If they say "NO" to the German government, what's left to do? Something like Brexit? Gerxit haha

[masterzino]

Cool, but I guess it will under strict KYC and AML? European Commission is trying to force a string KYC/AML on all wallets and exchange providers. Even FaucetHub is closing services due to this.

Most curious here is what taxes will banks implement on crypto trades, considering crypto as a competitor to own services.

[Febo]

This is listed as a source: https://thebitcoinnews.com/from-2020-the-sale-and-custody-of-bitcoin-will-be-allowed-to-all-german-banks/   I dont see nor author here nor where he got this information's from. From first sight looks like a classic crypto shit news.

[fillippone]

The source is the Handelsblatt.
 Not exactly a third row journal in Germany

https://app.handelsblatt.com/finanzen/rohstoffe-devisen/kryptowaehrungen-neues-geldwaeschegesetz-banken-duerfen-bitcoin-verwahren/25276392.html

[LUCKMCFLY]

I think banks should quickly adopt Bitcoin, some are focusing on Blockchain technology, but Bitcoin has the power to generate liquidity quickly. With the issue of negative interests, it is no longer just for those who make deposits with more than 100,000 Euros, now the Furstenfeldbruck bank, forces to charge negative interest to its customers.

Here it is with some more detail: https://cryptoiq.co/german-bank-levies-negative-interest-on-regular-customers-for-the-first-time-a-move-that-could-benefit-bitcoin-btc/

All this is positive, because now they will see bitcoin as the Digital Gold that it has always been, bringing more demand to the market, in order to seek refuge from money.

[Hueristic]

So is this true or not?
I have no clue what constitutes a legit German news source, I would think something like this would be on Reuters.


nothing from a quick google.

https://www.google.com/search?client=firefox-b-1-d&ei=sEzgXZ2UL-u0gge6gozADA&q=Reuters+german+banks+accept+bitcoin&oq=Reuters+german+banks+accept+bitcoin&gs_l=psy-ab.3..33i160j33i299.13783.21856..22247...0.2..0.168.2978.14j15......0....2j1..gws-wiz.......0i71j0i273j0j0i131j0i10j0i22i30j33i22i29i30.bUR_lNrTx2M&ved=0ahUKEwidrNHR_I3mAhVrmuAKHToBA8gQ4dUDCAo&uact=5

[Gyrsur]

I do pay 24k per year for my Bloomberg terminal: Where is my f***ing news?  

Source for the news might be this law draft which has to be further approved by the "Bundesrat" before the end of 2020. to busy to go through the text. sorry!

Source: https://dip21.bundestag.de/dip21/btd/19/138/1913827.pdf

https://cryptomonday.de/bitcoin-banken-revolution-in-deutschland-verwahrung-und-handel-ab-2020-erlaubt/

[Hueristic]

I do pay 24k per year for my Bloomberg terminal: Where is my f***ing news?  

Source for the news might be this law draft which has to be further approved by the "Bundesrat" before the end of 2020. to busy to go through the text. sorry!

Source: https://dip21.bundestag.de/dip21/btd/19/138/1913827.pdf

https://cryptomonday.de/bitcoin-banken-revolution-in-deutschland-verwahrung-und-handel-ab-2020-erlaubt/

Law "Draft"?

So this is speculation?

[fillippone]

I do pay 24k per year for my Bloomberg terminal: Where is my f***ing news?  

Source for the news might be this law draft which has to be further approved by the "Bundesrat" before the end of 2020. to busy to go through the text. sorry!

Source: https://dip21.bundestag.de/dip21/btd/19/138/1913827.pdf

https://cryptomonday.de/bitcoin-banken-revolution-in-deutschland-verwahrung-und-handel-ab-2020-erlaubt/

Law "Draft"?

So this is speculation?

As I understand it has been already been approved by the German federal parliament “Bundestag”, and has yet to be approved by each national state parliaments. This is a formal step to get to the final law, but it’s almost certain approval.

Gyrsur do I stand correct?

[Gyrsur]

I do pay 24k per year for my Bloomberg terminal: Where is my f***ing news?  

Source for the news might be this law draft which has to be further approved by the "Bundesrat" before the end of 2020. to busy to go through the text. sorry!

Source: https://dip21.bundestag.de/dip21/btd/19/138/1913827.pdf

https://cryptomonday.de/bitcoin-banken-revolution-in-deutschland-verwahrung-und-handel-ab-2020-erlaubt/

Law "Draft"?

So this is speculation?

As I understand it has been already been approved by the German federal parliament “Bundestag”, and has yet to be approved by each national state parliaments. This is a formal step to get to the final law, but it’s almost certain approval.

Gyrsur do I stand correct?

yes it is correct as I understand it too so far from the media news especial from the news I posted above.

the "Bundestag" produce the law and do approve it but further approval from the "Bundesrat" is needed which is not done yet but is expect to do it with no decline. "Bundestag" is central part of government and "Bundesrat" is de-central part of government from the states like the US have states but far smaller in Germany.  the US suckers didn't want to get Germany great again after the war so they forced us to establish a political system like theirs in this small country.  

[fillippone]

So is this true or not?
I have no clue what constitutes a legit German news source, I would think something like this would be on Reuters.


nothing from a quick google.

https://www.google.com/search?client=firefox-b-1-d&ei=sEzgXZ2UL-u0gge6gozADA&q=Reuters+german+banks+accept+bitcoin&oq=Reuters+german+banks+accept+bitcoin&gs_l=psy-ab.3..33i160j33i299.13783.21856..22247...0.2..0.168.2978.14j15......0....2j1..gws-wiz.......0i71j0i273j0j0i131j0i10j0i22i30j33i22i29i30.bUR_lNrTx2M&ved=0ahUKEwidrNHR_I3mAhVrmuAKHToBA8gQ4dUDCAo&uact=5

I shared this concern.
More and more reliable news report are surfacing. I added some of them in the OP!

[alyssa85]

I think this is great news, the easier it is for people to buy bitcoin the better.

Whether the German people take advantage of this is a whole other discussion. They are very risk-averse, which is why their savings are still in the form of cash at the bank, despite zero and negative interest rates, instead of putting it in real estate, bonds or shared. Bitcoin is more volative than stocks or property, so they may shy away from adoption.

[fillippone]

News from Coindesk:

German Banks Allowed to Sell and Custody Crypto Assets From 2020: Report

From next year, banks in Germany will be allowed to offer the sale and storage of cryptocurrencies under new legislation.

Previously, banks were barred from offering direct access to crypto assets, but the new law implementing the fourth EU Money Laundering Directive would change that, according to local business newspaper the Handselblatt in a report on Wednesday. The bill has already been passed by the German federal parliament, the Bundestag, and is expected to be signed off by the nation's 16 states.

[Twentyonepaylots]

I think this is great news, the easier it is for people to buy bitcoin the better.

Indeed a great news on the community, there will be another added user for cryptocurrency in the future.

Whether the German people take advantage of this is a whole other discussion. They are very risk-averse, which is why their savings are still in the form of cash at the bank, despite zero and negative interest rates, instead of putting it in real estate, bonds or shared. Bitcoin is more volative than stocks or property, so they may shy away from adoption.

German governtment is indecisive with cryptocurrency since most people consider cryptocurrency as an investment asset giving the authority to warm the public about its potentiality to make a negative outcome because of its speculative nature and high volatility. But I guess they were pretty sure this time, it might even boost their economy that may delete their negative interest rates.

[alyssa85]

German governtment is indecisive with cryptocurrency since most people consider cryptocurrency as an investment asset giving the authority to warm the public about its potentiality to make a negative outcome because of its speculative nature and high volatility. But I guess they were pretty sure this time, it might even boost their economy that may delete their negative interest rates.

Germany is sharing a currency with 19 other countries (the euro). Negative interest rates are here to stay regardless of how well the German economy does, because the other 19 countries arn't doing so well apart from the Netherlands.

One complication is that success in the German economy doesn't boost the eurozone countries, instead it boosts the non-eurozone countries that border Germany to the east (Poland, Czechia, Slovakia, Hungary).

It's a design flaw in the eurozone that the constituent countries arn't properly aligned.

[aardvark15]

Germany seems to be a crypto friendly country. I have also heard that the tax treatment in Germany is very friendly toward cryptocurrency transactions but I don’t know the specifics.

[The Sceptical Chymist]

It makes a lot of sense for a Bank to sell Bitcoin.

Yes it does, and I'm actually surprised that banks haven't started to do it yet.  Granted, banks don't sell gold or stocks or other investments, but bitcoin is kind of a hybrid thing--an investment that's also a currency.  And most banks also offer some investment services, usually to their wealthier customers.  The only thing I can see that would make it not make sense is that banks are well aware of the criminal activities bitcoin is associated with and I'd think they might not want to be connected to any of that.

But here's the thing:

But why would make it sense from a customer point of view?

As a customer, I'm not sure I'd want to purchase bitcoin from a bank.  That would be almost as bad as buying it from the government.  They would obviously know where that bitcoin is going and perhaps even what it was spent on if they could connect addresses.  If you're not doing anything illegal, it wouldn't cause you any trouble but who wants banks or the government tracing your financial transactions?  They already can if you're using your debit card or checking account, but my guess is that if you spend bitcoin you'll be under a microscope.  Yikes.

However, I do agree that this is a bullish thing overall.  While I wouldn't take advantage of such a service, other people might--and I hope it works out in Germany and that adoption increases there as a result of this.

[Twentyonepaylots]

German governtment is indecisive with cryptocurrency since most people consider cryptocurrency as an investment asset giving the authority to warm the public about its potentiality to make a negative outcome because of its speculative nature and high volatility. But I guess they were pretty sure this time, it might even boost their economy that may delete their negative interest rates.

Germany is sharing a currency with 19 other countries (the euro). Negative interest rates are here to stay regardless of how well the German economy does, because the other 19 countries arn't doing so well apart from the Netherlands.

One complication is that success in the German economy doesn't boost the eurozone countries, instead it boosts the non-eurozone countries that border Germany to the east (Poland, Czechia, Slovakia, Hungary).

It's a design flaw in the eurozone that the constituent countries arn't properly aligned.

I still don't understand why flawed system is not yet on resurfacing. Negative interest rates feels so horrible, imagine earning money in a hard way but banks wants you to spend it easy just to avoid making banks to store it with negative rate. Good thing they already accepted the nature of cryptocurrencies, volatile and speculative. People from their country will now learn hw to invest than just to hold money on their pockets and banks. The best solution for now, isn't it?

[el kaka22]

This must be one of the positive consequence of adopting European union's recent money laundering directives. It seems as per those directives, German laws now may start supporting cryptos as an asset. Still, European countries are not ready to declare bitcoin as a legal tender like how Japan did some 3 years back itself. I believe Swiss government may do that first among Europe countries.

Let's wait and see what are the consequences in crypto space, this news will trigger. This must be a huge positive step stone kind of news as it will encourage bitcoin to be considered as an alternative to gold in banking which means many people will know about bitcoins even they are sticking with traditional banking. I am just seeing clear possibilities for bitcoin to hit million dollar values in near future.

[fillippone]

It makes a lot of sense for a Bank to sell Bitcoin.

Yes it does, and I'm actually surprised that banks haven't started to do it yet. 

Banks cannot, touch bitcoin or anything barely relted to bitcoin. Even servicing fiat accounts to crypto proved something "challenging" for banks.
This was due to a sort of "moral suasion" from central authorities about crypto-related businesses.
Now things are starting to move in hte right directions, banks are now best oriented on the level of analysis required to handle bitcoins,  and regulaters are adoptin a more agnostic approach to the matter.
Hence more room dor action.

But here's the thing:

But why would make it sense from a customer point of view?

As a customer, I'm not sure I'd want to purchase bitcoin from a bank.  That would be almost as bad as buying it from the government.  They would obviously know where that bitcoin is going and perhaps even what it was spent on if they could connect addresses.  If you're not doing anything illegal, it wouldn't cause you any trouble but who wants banks or the government tracing your financial transactions?  They already can if you're using your debit card or checking account, but my guess is that if you spend bitcoin you'll be under a microscope.  Yikes.

Agree, but again, we are aldready tracked in every fine details; Bitcoin on the other hand gives you the options, once you buy it, to gain some privacy.
Using this option is up to you.
NOT buying this option, leave you with no choice.
I would say that for the general public, the one who need a bank to take care of their bitcoin, that shouldn't pose a major threat.

[YOSHIE]

This is one of the most bullish news I've heard recently:

From 2020, the sale and custody of Bitcoin will be allowed to all German banks

This can be said to be good news for Bitcoin users in Germany.
Yesterday I also heard unpleasant news for bitcoin users in Germany: https://bitcointalk.org/index.php?topic=5203303.0
However, with the advent of this news, bitcoin will become the most important asset for the community in germany and can awaken the economic sector of the german people, very wise and positive.

[Willitivity]

Some pretty good news to lift the spirits high. Since after the Chinese government move on Bitcoin, other countries and lazily sitting up and loosening their tight crypto regulations. If this new development is well implemented, it means vey good for Germans and bitcoinners in general as well. 2020 seems to be having some goodies coming with it.

[Hueristic]

yes it is correct as I understand it too so far from the media news especial from the news I posted above.

the "Bundestag" produce the law and do approve it but further approval from the "Bundesrat" is needed which is not done yet but is expect to do it with no decline. "Bundestag" is central part of government and "Bundesrat" is de-central part of government from the states like the US have states but far smaller in Germany.  the US suckers didn't want to get Germany great again after the war so they forced us to establish a political system like theirs in this small country.  

Yup they definitely designed as system to keep the people from ever becoming great that's for sure. If your ancestors were smarter they wouldn't be shackled with the same system we are all in now.

[Sithara007]

Some pretty good news to lift the spirits high. Since after the Chinese government move on Bitcoin, other countries and lazily sitting up and loosening their tight crypto regulations. If this new development is well implemented, it means vey good for Germans and bitcoinners in general as well. 2020 seems to be having some goodies coming with it.

When did the Chinese government made any "moves" on Bitcoin? They remain extremely hostile to the cryptocurrency, and a few days back some of the government officials were talking about banning the activity of cryptocurrency exchanges inside mainland China (they are already operating under heavy restrictions). There was a statement from Xi Jinping regarding the Blockchain technology a few weeks back, but he never mentioned anything about Bitcoin or any other cryptocurrency. It will be very idiotic to assume that the Chinese government has suddenly become tolerant towards cryptocurrency.

[Mometaskers]

The good news about this is it makes it easier for people to get introduced to bitcoin since likely the bank salesmen are going to talk them into their new product.

I think the main positive here would be to help improve adoption but other than that nothing really innovative.

Pay to leave your money in the bank, or be your own bank and gain from a deflationary currency? The choice is yours!

Another question should be, keep your money in your own wallet or in bank account the government can freeze?

[EdvinZ]

A great move by the German authorities. Now the industry will come fresh money. Many Bank customers will be happy to use the new service, because they do not even need to install any wallets for cryptocurrency, because everything will be tied to their Bank accounts. Banks will ensure the safety of customer funds.

[rose9696]

according to the majority of people they would say this is a good move for them but I think this is a pretty bad move. because in my opinion commercial banks shouldn't hold too much bitcoins to trade because you know, the value of bitcoin is always very strongly manipulated. and to provide bitcoin hoarding and trading services, the bank has to spend quite a large amount. This is not a good practice for commercial banks in Germany. It seems negative interest rates are causing banks to be compelled to make money from the crypto market.

[fillippone]

If banks come into the market, then the market would inevitably become more regulated. Or better, the walled garden where banks can operate.
I don’t think commercial banks would manipulate the market more that today is. Bank adoption means bigger market, and bigger market means more difficult to manipulate markets (have you ever tried to manipulate the EUR/USD FX?

[El duderino_]

It makes a lot of sense for a Bank to sell Bitcoin.

Yes it does, and I'm actually surprised that banks haven't started to do it yet.  Granted, banks don't sell gold or stocks or other investments, but bitcoin is kind of a hybrid thing--an investment that's also a currency.  And most banks also offer some investment services, usually to their wealthier customers.  The only thing I can see that would make it not make sense is that banks are well aware of the criminal activities bitcoin is associated with and I'd think they might not want to be connected to any of that.

But here's the thing:

But why would make it sense from a customer point of view?

As a customer, I'm not sure I'd want to purchase bitcoin from a bank.  That would be almost as bad as buying it from the government.  They would obviously know where that bitcoin is going and perhaps even what it was spent on if they could connect addresses.  If you're not doing anything illegal, it wouldn't cause you any trouble but who wants banks or the government tracing your financial transactions?  They already can if you're using your debit card or checking account, but my guess is that if you spend bitcoin you'll be under a microscope.  Yikes.

However, I do agree that this is a bullish thing overall.  While I wouldn't take advantage of such a service, other people might--and I hope it works out in Germany and that adoption increases there as a result of this.

For sure its good and bullish news and more countries as banks will follow this....  for me personal, I wouldn't use it, but I guess new users will, though many OG users probably already using banks for safety to store their BTC... for people with some holdings it would already been logical to use bank vaults to have their BTC on a safe place.

Of-course I wouldn't like to purchase from a bank, but it will be interesting to see how banks are dealing with the sales of BTC, are banks gonna buy first and resale BTC and how much BTC would a bank buy to keep in storage and use to sell to clients?? How will banks store BTC and if clients want the bank to keep their BTC then where will banks store their clients BTC etc..... didn't read to much about this yet myself ...

[Hueristic]

The good news about this is it makes it easier for people to get introduced to bitcoin since likely the bank salesmen are going to talk them into their new product.

I think the main positive here would be to help improve adoption but other than that nothing really innovative.

Pay to leave your money in the bank, or be your own bank and gain from a deflationary currency? The choice is yours!

Another question should be, keep your money in your own wallet or in bank account the government can freeze?

i agree this is a move so the centralized bankers still can control your assets and therefore control you.

But it is a good thing that it adds legitimacy to those on the fence of whether bitcoin is safe.

[Harlot]

The other thing that I could see if this banks will be the first one to do it and literally all German banks will be accepting and also buying and selling cryptocurrencies I think that the rest of the businesses will follow their lead. I could see that commercial businesses will also step forward in accepting Bitcoin as a payment since what the German banks did can be considered as a big leap towards the industry as well as some kind of green light that the government is also friendly towards the crypto market. This will be counted as a big change for this country and I could see the ripple effect that it will create towards its neighboring countries and soon several countries who would have seen the benefit because of it.

[msarro]

That's good news but there are some conditions that banks have to fulfill prior to accept and trade cryptocurrencies. What are those conditions?

The new law will take effect January 1, 2020, though certain requirements must first be met through the country’s financial regulator.
Source

and these requirements are very well known to us.

[fillippone]

A nice article doing a sumup and a recap of various legislation advancements around the world:

Regulatory Roundup: Germany to Let Banks Sell and Store Crypto, Laws Changing in Asia

Some major regulatory developments in the crypto space have transpired this week. Not only has Germany passed a bill allowing banks to sell and store cryptocurrencies, but South Korea and Thailand are also amending their laws to better regulate the crypto industry. We also cover crypto news involving the governments of China, Japan, and the U.S., including the arrest of an Ethereum Foundation member.

[leeboy]

I hope that others EU countries will do the same law

[dothebeats]

I wouldn't be so sure banks don't know anything about bitcoin.
Banks have a lot of people looking into bitcoin, even if they cannot uffcially do anything touching bitcoin.

It's the masses and the customers of the banks, and not the banks per se, who don't know anything about bitcoin. Clearly a huge portion of our population still believes that bitcoin is just magic internet money that will help you get rich overnight, hence the surge of bitcoin-related search whenever bitcoin is on the rise. Banks do know about bitcoin and are doing their best to at least capitalize on it, be it directly or indirectly.

But they have a dying business model, and they have a lot of money to be put at work.
We might be suprorised on that front.

Banks will never die even if cryptocurrencies were to overtake the whole economic sphere.

It is the only institution where governments can freely corroborate to bend their money supply at will.

It is the only institution where people can go on and have secure loans and have their money safeguarded (or at least that's how people think it works.)

Literally the creation of banks and its concept/business model kept the whole world going from the early years of 20th century up to now, and have kept the whole world peaceful from devastating wars after WWII. Banks are as powerful as they can be, considering that the government would always have their backs no matter what.

[abhiseshakana]

It makes a lot of sense for a Bank to sell Bitcoin.


But why would make it sense from a customer point of view?

The easing of the monetary economic policy imposed by the European central bank was a response to the sluggish German manufacturing export market. Banking in Europe has been sluggish for years due to the environment of low-interest rates. Interest in the euro area user countries has touched 0% since 2012 and was at a negative level in 2014. Conditions that lasted for years have attacked banking profits and cast doubt on banking profitability, especially in Germany.

It is proven that some banks have to reduce their employees due to the implementation of negative interest rates. To anticipate this problem in particular so as not to fail, the Bank must consolidate and they must change the business model radically. The banking service program diversification that penetrated the cryptocurrency certainly made a fresh breeze for the banking industry. The Bank combines the guarantee of the safety of customer funds and the progress of blockchain technology is a marketing concept that will attract many benefits for banks.

Banks can collapse if we stop saving money in banks and stop using banking services. Or at least don't make a bank loan to support our lifestyle, a lifestyle that must adjust our abilities. By minimizing the function of banks in our lives the longer the bank will increasingly lose the market.

[fillippone]

It makes a lot of sense for a Bank to sell Bitcoin.


But why would make it sense from a customer point of view?

The easing of the monetary economic policy imposed by the European central bank was a response to the sluggish German manufacturing export market. Banking in Europe has been sluggish for years due to the environment of low-interest rates. Interest in the euro area user countries has touched 0% since 2012 and was at a negative level in 2014. Conditions that lasted for years have attacked banking profits and cast doubt on banking profitability, especially in Germany.

It is proven that some banks have to reduce their employees due to the implementation of negative interest rates. To anticipate this problem in particular so as not to fail, the Bank must consolidate and they must change the business model radically. The banking service program diversification that penetrated the cryptocurrency certainly made a fresh breeze for the banking industry. The Bank combines the guarantee of the safety of customer funds and the progress of blockchain technology is a marketing concept that will attract many benefits for banks.

Banks can collapse if we stop saving money in banks and stop using banking services. Or at least don't make a bank loan to support our lifestyle, a lifestyle that must adjust our abilities. By minimizing the function of banks in our lives the longer the bank will increasingly lose the market.

I would say that the QE in Europe was done, stripping out the marketing by the ECB to make this acceptable by the general public, with the sole aim of saving European Banks from collapse.

This is because there was a massive exposure, for a variety of reasons it's not worth examining here, of banks toward European Sovereign debt. When the there was a Euro confidence crisis, debt of European Nations, which back in time were heavily in debt, all of them (situation has not improved since then, bar Germany).
So ECB started accepting those debt held by banks, in exchange to fresh money, they could have in theory used to fuel real growth.
What happened instead is that not only Banks benefited from ECB money printing, but they used that money to buy even more debt only to profit from rising prices, using free money from the ECB.

Regarding consolidations and "traditional" ways of improving efficiency, I think European banks have gone far enough. Everyday we read on newspapers that bigger banks are buying (or forced to buy) smaller banks, closing branches and laying off employees in the thousands.

Yes, they need to embrace digital more, opening their expertise to new markets like cryptos. But they have the burden of regulations, and regulators (namely ECB) which are literally scared of anything related to crypts.

As per this news something is beginning to change, and I think it's a very welcome news as this might seem a little movement in hte regulatory framework, while it's a massive paradigm shift.
 

[Clement Kaliyar]

This must be one of the positive consequence of adopting European union's recent money laundering directives. It seems as per those directives, German laws now may start supporting cryptos as an asset. Still, European countries are not ready to declare bitcoin as a legal tender like how Japan did some 3 years back itself. I believe Swiss government may do that first among Europe countries.

The German banks have the permission to sell and hold bitcoin but i cannot find any by law that says it will be considered as a legal tender, it might be considered as a commodity and if the government gives the permission to use bitcoin as a legal tender then it will be a huge news for the market and it will reflect in the market and i am still waiting for more news about the recent development.

[With Gusto]

This is one of the most bullish news I've heard recently:

From 2020, the sale and custody of Bitcoin will be allowed to all German banks

So far, there was a clear legal separation between the normal regulated banking and crypto transactions. The custody and trading of Bitcoin and Kryptos has until now always been outsourced to specialized partners or subsidiaries with appropriate licenses. By 2020 all German banks should be redeemed.

If all German banks can suddenly sell bitcoin to their customers with a few clicks from 2020, that is a big digital transformation of the traditional banks. It could finally enable the bitcoin and blockchain industry in Germany to compete on equal terms with other states. Although the Federal Council still has to approve the new law, the approval is considered certain.

It makes a lot of sense for a Bank to sell Bitcoin.
....

Wow, reality and fantasy are colliding in an Epic Multi-Trillion Dollar Big Bang.

[k@suy]

A great move by the German authorities. Now the industry will come fresh money. Many Bank customers will be happy to use the new service, because they do not even need to install any wallets for cryptocurrency, because everything will be tied to their Bank accounts. Banks will ensure the safety of customer funds.

This could be a great news for everyone of us! Especially to all bitcoin users worldwide. Im sure that this will affect the current price of bitcoin , I am expecting a great pump, europe continent has a rich people, given that German is one of them accepts bitcoin is a great news.

[Hueristic]

This must be one of the positive consequence of adopting European union's recent money laundering directives. It seems as per those directives, German laws now may start supporting cryptos as an asset. Still, European countries are not ready to declare bitcoin as a legal tender like how Japan did some 3 years back itself. I believe Swiss government may do that first among Europe countries.

The German banks have the permission to sell and hold bitcoin but i cannot find any by law that says it will be considered as a legal tender, it might be considered as a commodity and if the government gives the permission to use bitcoin as a legal tender then it will be a huge news for the market and it will reflect in the market and i am still waiting for more news about the recent development.

Under the proposed bill, financial institutions will purportedly allow cryptocurrencies to be used in similar manners as traditional assets. Customers would still be able to operate securities such as stocks and bonds. Additionally, when using online banking, clients will reportedly also be able to navigate their cryptocurrency assets, just as they have done with fiat money until now.

https://cryptopotato.com/report-german-banks-could-be-able-to-store-bitcoin-from-2020/

https://www.liechtensteinusa.org/article/liechtensteins-parliament-approves-blockchain-act-unanimously

[Cherylstar86]

A great move by the German authorities. Now the industry will come fresh money. Many Bank customers will be happy to use the new service, because they do not even need to install any wallets for cryptocurrency, because everything will be tied to their Bank accounts. Banks will ensure the safety of customer funds.

This could be a great news for everyone of us! Especially to all bitcoin users worldwide. Im sure that this will affect the current price of bitcoin , I am expecting a great pump, europe continent has a rich people, given that German is one of them accepts bitcoin is a great news.

If that's the way it is, it's definitely a great and good news to each and everyone of us. I still believe someday that the bitcoin will increase tremendously though we don't know when it will be happen. Nowadays, market is not good but the good thing many countries adopt the crypto currency and it's a good time to invest.

[meliodas]

This is such a great news for bitcoin and for the overall cryptocurrency in the market because bitcoin is now allowed to all german banks which means that the germans can now easily do transaction with bitcoin without worrying to screw up the rules and regulation in their country. This should be a role model for other country to step into cryptocurrency and accept it like what the Germans did.

[fullhdpixel]

So, crypto currencies are basically something between gold and euro in the banking world as well (it has been like that for years around here). We all know how you can spend bitcoins and buy something, can you do it with gold?

Well, it is doubtful but in veeeeeery rare cases you might, however normally you can't. Does euro have the store of value like bitcoin does? No it doesn't. So, crypto has all the good parts of gold and all the good parts of fiat and doesn't have any of the bad parts of neither, which I suppose banks will see it that way as well. You will be capable of storing it on your bank and you will be capable of spending it at the same time, as long as banks are regulated in bitcoin world and they don't create their own ledger, this could be awesome.

[LeGaulois]

People always criticize banks, especially here in a forum about cryptocurrencies, anarchism, decentralization, etc. (nothing wrong with that basically). But when they read a news saying banks from a country will be able to use BTC on behalf of the customers you're all praising it
There are too much "it's wonderful news" here. I will bookmark this topic and if I see one of you saying in the future '"not your keys not your coins"' or "don't trust exchanges", and similar adages, I will remember you your double standard and irony.

I know you will keep saying "mass adoption" bla bla bla, which isn't a valid argument. Bitcoin has been doing well without it for a decade.

[fillippone]

People always criticize banks, especially here in a forum about cryptocurrencies, anarchism, decentralization, etc. (nothing wrong with that basically). But when they read a news saying banks from a country will be able to use BTC on behalf of the customers you're all praising it
There are too much "it's wonderful news" here. I will bookmark this topic and if I see one of you saying in the future 'not your keys not your coins' or don't trust exchanges, and similar adages, I will remember you your double standard and irony.

I know you will keep saying "mass adoption" bla bla bla, which isn't a valid argument. Bitcoin has been doing well without it for a decade.

I perfectly understand your point.
I run a bitcoin full node, I HODL my coins, and I own my private keys.

But not everyone is like me (luckily, might I add).
Not everyone is ready to take the burden of financial sovereignty.
So welcome to more choices in the environment. More choice mean a more diverse audience can get introduced to bitcoin. And this is good.
One thing to remember is in fact, that this another choice adding on top of the others. This is not taking away the possibility to have your coins with you.

Can we think of the central states to ban personal detention of bitcoin (digital gold) like they did in the first place with physical gold? Sure the can (not that mean it will be effective), but this is totally a different story.

[Oneandpure]

People always criticize banks, especially here in a forum about cryptocurrencies, anarchism, decentralization, etc. (nothing wrong with that basically). But when they read a news saying banks from a country will be able to use BTC on behalf of the customers you're all praising it
There are too much "it's wonderful news" here. I will bookmark this topic and if I see one of you saying in the future '"not your keys not your coins"' or "don't trust exchanges", and similar adages, I will remember you your double standard and irony.

I know you will keep saying "mass adoption" bla bla bla, which isn't a valid argument. Bitcoin has been doing well without it for a decade.

Last year we found many people giving information about bank want adopt bitcoin as their partner until now there are nothing and today have people said like last year for adoption blockchain in the bank, they have giving bullshit information every time how come bank want mass adoption blockchain in their working without get legal bitcoin as currency in their country, better stop always giving incorrect information.

[Hallmader]

This is not just another good news about Bitcoin. The all makes all the difference. And it is not just happening in any country; it is happening in Germany. Sale and custody of Bitcoin in all banks? Can you believe it? One has to rub one's eyes to make sure he is reading it right.

Well, that I guess is the best decision of the German people about the rising inflation and fast eroding of their fiat's value. This decision somehow saves the banks. This could be the main reason why they will continue operating for the next years. They are almost becoming useless with the negative interest rates offer.

[Altcoins enthusiast]

This is good news from German and this is a great sign of adoption. If bank will be buying and selling bitcoin directly then government will have no much options than to adopt it. This is part of the reason why we should buy bitcoin now that is extremely less expensive and sell when market starts to react to those events in 2020.

[minersday]

Finally Germany has also join the train of countries that would allow the use of Bitcoin. I know most of us are rather much interested in bitcoin being accepted as a mode of payment but let's not jump ahead of things. I know once that their banks have opened in using bitcoin i believe they would find a way to use bitcoin as a medium of exchange in the future.

[clickerz]

This is good news from German and this is a great sign of adoption. If bank will be buying and selling bitcoin directly then government will have no much options than to adopt it. This is part of the reason why we should buy bitcoin now that is extremely less expensive and sell when market starts to react to those events in 2020.

Of course and this is what we want. It is almost 15 days and we are in 2020 and hoping this German rule will have an impact on bitcoin price. So far more good news is coming, but the impact of this maybe next year as added that halving is coming. We are expecting a brighter year ahead with cryptocurrency next year.

[fillippone]

Apparently not only German banks are starting to think about this kind of services:

Exclusive: ING working on digital assets custody technology - sources

NEW YORK (Reuters) - Dutch bank ING (INGA.AS) is working on developing technology to help clients safely store digital assets, according to people familiar with the matter.

The custody project, which is being run out of Amsterdam, is still in its early days and is one of the bank’s several initiatives around blockchain, the technology underlying cryptocurrencies, the sources said.

[LeGaulois]

People always criticize banks, especially here in a forum about cryptocurrencies, anarchism, decentralization, etc. (nothing wrong with that basically). But when they read a news saying banks from a country will be able to use BTC on behalf of the customers you're all praising it
There are too much "it's wonderful news" here. I will bookmark this topic and if I see one of you saying in the future 'not your keys not your coins' or don't trust exchanges, and similar adages, I will remember you your double standard and irony.

I know you will keep saying "mass adoption" bla bla bla, which isn't a valid argument. Bitcoin has been doing well without it for a decade.

I perfectly understand your point.
I run a bitcoin full node, I HODL my coins, and I own my private keys.

But not everyone is like me (luckily, might I add).
Not everyone is ready to take the burden of financial sovereignty.
So welcome to more choices in the environment. More choice mean a more diverse audience can get introduced to bitcoin. And this is good.
One thing to remember is in fact, that this another choice adding on top of the others. This is not taking away the possibility to have your coins with you.

Can we think of the central states to ban personal detention of bitcoin (digital gold) like they did in the first place with physical gold? Sure the can (not that mean it will be effective), but this is totally a different story.

Don't worry because I also understand your argument. Do you know what? It's like GNU/Linux, basically, people wanted to create an open-source operating system with open source software, etc. To be free from Microsoft's monopoly, etc

Forks after forks now the things changed. You can find commercial OS like Red Hat or buntu family with for example Google chrome pre-installed and many other softwares that are not so "free", handled by big companies. We could well say for example Ubuntu is not "free" anymore. Canonical owns it and decide

The geeks use OS like Debian & co, the mass use Ubuntu & co

So yeah it gives multiple alternatives to people and yeah it helps the mass adoption. But for ourselves, you, me and everyone here, as early adopters it's funny to read it =)

Apparently not only German banks are starting to think about this kind of services:

Not surprised, ING is located in the Netherlands, Netherlands and Germany is like the same country, they are very cousins lol

[Hueristic]

Apparently not only German banks are starting to think about this kind of services:

Exclusive: ING working on digital assets custody technology - sources

NEW YORK (Reuters) - Dutch bank ING (INGA.AS) is working on developing technology to help clients safely store digital assets, according to people familiar with the matter.

The custody project, which is being run out of Amsterdam, is still in its early days and is one of the bank’s several initiatives around blockchain, the technology underlying cryptocurrencies, the sources said.

Yes, they are all working on a technology to do what can already be done with the available tools.

Translation is we are working on ways to control your use of bitcoin because we cannot defeat it.

[LUCKMCFLY]

I like the position that German banks have taken, I think they have analyzed the series of events that are coming for 2020, it is obvious that there will be a stablecoins war, from Countries that want to continue to control the economy.

Germany knows that there is not enough time for them to develop a stablecoin to face what is to come, apart they know that all this amount of events will bring in a massive way the adoption of Bitcoin.

They are intelligent movement and I admire this position, they do not really want to be left behind, they want to be at the forefront and take advantage of what happens.

[cutesgirl]

Finally Germany has also join the train of countries that would allow the use of Bitcoin. I know most of us are rather much interested in bitcoin being accepted as a mode of payment but let's not jump ahead of things. I know once that their banks have opened in using bitcoin i believe they would find a way to use bitcoin as a medium of exchange in the future.

We glad with many countries have accepted bitcoin as legal currency payment but until today we don't now what happen with country before have announcement for adopting bitcoin as legal currency payment. When German want adopt and accepted bitcoin as legal currency give positive respond for other country want to allow what have German did and received bitcoin as legal currency payment.

[Mometaskers]

The good news about this is it makes it easier for people to get introduced to bitcoin since likely the bank salesmen are going to talk them into their new product.

I think the main positive here would be to help improve adoption but other than that nothing really innovative.

Pay to leave your money in the bank, or be your own bank and gain from a deflationary currency? The choice is yours!

Another question should be, keep your money in your own wallet or in bank account the government can freeze?

i agree this is a move so the centralized bankers still can control your assets and therefore control you.

But it is a good thing that it adds legitimacy to those on the fence of whether bitcoin is safe.

I understand your last argument. The best it can help with bitcoin adoption is to further legitimize bitcoins in the eyes of the public. Best case scenario is people get their first bitcoin this way and then they move on to keeping their bitcoins in their own wallets rather than the bank's.

[aardvark15]

One huge benefit for Bitcoin with this ruling is that it will likely make Bitcoin more accessible to the average person. Many people don’t know how to acquire Bitcoin or altcoins, but in Germany, this may make it easier for everyone to invest.

[beerlover]

I am not entirely sure if this will be a good thing or a bad thing. I mean we would like the adoption rate to go up and German banks being able to store and even selling bitcoin could potentially increase the adoption. However, should adoption come with the problems of a bank causes as well? We all want adoption, we all hate banks, I don't know how to feel about this.

If I want to just see the good in this I could potentially say that thanks to German banks and the new rules there will be more and more people who will buy bitcoin which would both increase the adoption of purchases/spending of bitcoin, plus the price of bitcoin could increase as well. That being said if I want to see the bad part of it I could totally see banks scamming people with many different methods.

[carlzec]

Very exciting development. Apparently a new order will be established. I think developing countries should act more aggressively. Malta has made a major breakthrough for bitcoin trading. He transferred Binance and similar institutions to his country. Now he will have a new order.

[metalglowd]

This must be one of the positive consequence of adopting European union's recent money laundering directives. It seems as per those directives, German laws now may start supporting cryptos as an asset. Still, European countries are not ready to declare bitcoin as a legal tender like how Japan did some 3 years back itself. I believe Swiss government may do that first among Europe countries.

The German banks have the permission to sell and hold bitcoin but i cannot find any by law that says it will be considered as a legal tender, it might be considered as a commodity and if the government gives the permission to use bitcoin as a legal tender then it will be a huge news for the market and it will reflect in the market and i am still waiting for more news about the recent development.

Don't do things like this will affect to the price of German's currency, i mean since Bitcoin was okay to be traded and German banks granted the permission, those people who want to enter the crypto should sell their cash and put it into BTC. Let say government become neutral about this, but if they suddenly make the law to forbid it, it can cause problem for them who already doing it.

[fillippone]

Might be uncorrelated, by a similar move is happening also in the Hawaii.

Hawaii Introduces Bill Authorizing Banks to Offer Crypto Custody

The Hawaii State Senate has passed the first reading of a bill authorizing banks to hold digital assets in their custody.

The bill was introduced on Jan. 17 by five state senators, including the only Republican member of the Senate, Kurt Fevella. It passed the first reading on Jan. 21 and was then referred to the committees on Judiciary and Commerce, and Consumer Protection and Health on Jan. 23.

The bill specifies the set of provisions which a bank must adhere to in order to provide custodial services for digital assets. Custodial services cover “the safekeeping and management of customer currency and digital assets through the exercise of fiduciary and trust powers under this section as a custodian and includes fund administration and the execution of customer instructions.”

In order for a bank to qualify as a crypto custodian, it has to adhere to certain standards regarding accounting and internal controls, maintain IT best practices, and comply with federal Anti-Money Laundering and Know Your Customer requirements

The virus is spreading!

[Brunus]

When I hear this news I get furious: it's not bullish, it's pure bullshit!
Bitfoin was born to get rid of the power of banks; it doesn't make the slightest sense that a bank decides to "keep" the bitcoin !!!!!
It is just one of the many scams that power invents to block the advance of the crypto.

[fillippone]

When I hear this news I get furious: it's not bullish, it's pure bullshit!
Bitfoin was born to get rid of the power of banks; it doesn't make the slightest sense that a bank decides to "keep" the bitcoin !!!!!
It is just one of the many scams that power invents to block the advance of the crypto.

Disagree with that.
Getting rid of banks and financial sovereignty is an option given to bitcoin era, not a moral imperative.
There are a lot of subjects (read: institutional investors, who simply cannot hold their own bitcoins-they don’t even hold their traditional financial assets)

[criza]

Either way, it may or may not receive the attention and traction it needs to get a boost, considering that fiat and banks are still the most trusted combination of people who don't know anything about bitcoin. It will take time, though people would soon realize the that it can work, albeit a slightly absurd way of handling things (banks handling a coin that promotes people to 'be their own bank')

It always in the culture of every people in different country that usually when there is a sudden change to the things they are used to, we could expect that they would not accept it already, it would always take time for the people to understand and adopt to the new trends in the financial system, such as, the integration of crypto currency to their financial transactions. Thus, this mean that in the future we could expect full support from the people after they realized the benefits of using crypto currency.

[fillippone]

So we see someone is starting crypto related services to lure institutional investors:


Boerse Stuttgart Subsidiary Launching Institutional Crypto Custody Services

According to an announcement from the bourse on Tuesday, Blocknox already provides custody for crypto assets on an "escrow basis" and has made the service available to users of Boerse Stuttgart's BISON app and its digital assets exchange, BSDEX.

The firm is now aiming to expand its services outside the group's own offerings, planning to safeguard cryptocurrencies and "other digital assets" for institutional clients such as banks and asset managers.

Very interesting.
They are trying to bootstrap an ecosystem of services starting from the most obvious and basic banking service: safeboxes.
I bet they informed ECB about this and apparently they agreed. This is also something new.

[Averim]

Crypto services from Banks sounds incredible. It is a good think, i am thinking it will be a good option for depositing them, io suppose should be more secure and the money will be ensured

[fiulpro]

I have only one problem here , 
Why are banks even allowed to do that?
People can buy or sell Bitcoins without any middle man , if banks get involved the rates and everything will differ , they will make it way too professional and way too centralized.
Yes it is a great idea because people who are new in crypto wouldn't mind going to the banks and buying , they will trust the system more.
I just hope the government and the banks doesn't do what the government and the banks do here and let it be decentralized.

[fillippone]

I have only one problem here , 
Why are banks even allowed to do that?
People can buy or sell Bitcoins without any middle man , if banks get involved the rates and everything will differ , they will make it way too professional and way too centralized.
Yes it is a great idea because people who are new in crypto wouldn't mind going to the banks and buying , they will trust the system more.
I just hope the government and the banks doesn't do what the government and the banks do here and let it be decentralized.

It's all about choices.
Private investors will have the choice of holding their coins by themselves (financial sovereignity) or use someone else to hold those, in case they trust their banks more than themselves.
There are also institutional investors that, for a variety of reasons, cannot hold the funds for themselves. Many institutional funds, for example, even intraditional funds have depositary banks, where they hold their assets. I can't see why for crypto's this should be different.

[fillippone]

At last something is moving in Germany:

German Neobank Offers Bitcoin Accounts With 4.3% Interest

All 80,000 users of German neobank Bitwala can now purchase, hold and earn interest on Bitcoin (BTC) in their bank accounts thanks to a new partnership with cryptocurrency lending platform Celsius Network.

According to defiprime.com, Bitwala is the first classic fiat bank to offer interest for holding Bitcoin in their account, with three other DeFi DApps offering similar products. While the DeFi products have higher rates, up to 8.6% per annum, Bitwala is more regulated and offers fiat and cryptocurrency services in 32 European countries under license from leading German bank SolarisBank AG.

Users can buy as little as 30 Euro worth of Bitcoin and hold it in the free Bitcoin Interest Account and receive interest payouts weekly. The Bitcoin in the accounts is lent out through the Celsius Network to ‘trusted partners’. Funds can be converted back to Euros immediately.

Adding gasoline to the fire:

In a statement, Bitwala CEO Ben Jones referred to the Bitcoin halving as a reminder that “state money (fiat) cannot be inflated eternally”:
"At this time, more and more people trust in Bitcoin. Bitwala is the everyday bridge to it. We are now partnering with Celsius Network, the world's leading provider of crypto loans, so that our customers can leverage Bitcoin holdings wherever they are”

Direct link to the bank
https://www.bitwala.com/bank-account/

Crypto wallets included
Our integrated wallets feature provides frictionless access to the crypto market. Seamlessly send and receive bitcoin or ether. With Bitwala, you own your coins as our wallets are non-custodial and secured with private keys.

It is happening.
We saw this coming, we were expecting neobanks from Germany starting to offer this kind of service, only to be beaten by the Italian neobank Hype (Hype is a neobank part of a very historic Italian Group).

Eventually, the integration of cryptocurrencies into traditional banking services is inevitable.

Historically, the first service offered by banks , tracing back to Genoese and later Florentine bankers in the late Middle Ages, was custody, and then evolved into credit.
Exactly what banks are starting to offer today.

In this sense, I also always say that it is not Bitcoin that needs Wall Street, but rather Wall Street that needs Bitcoin.
To stay relevant and not die.

[fillippone]

Finally, a major German Bank is moving in this direction:

Deutsche Bank Plans to Launch a Digital Asset Custody Platform for Institutional Clients

Deutsche Bank is planning to present its minimum viable product (MVP) for a digital asset custody platform aimed at institutional clients this year, according to a report by the World Economic Forum.

This is the link to the original report.

Also nice to read:

According to the report, Germany's largest banking institution anticipates the tokenization of traditional assets such as private placements, bonds, and real estate "to move more into the mainstream," citing analysts that predict the tokenized asset space to potentially grow to $24 trillion in the future. As more assets are being issued in tokenized form, Deutsche Bank seeks to become the destination of choice when it comes to safeguarding these assets and has completed its proof of concept for a custody platform focused on digital assets.

[fillippone]

Germany is confirming his leading role in crypto legislation in Europe:


'Damn Huge': Germany Opens Up to Institutional Crypto Funds

• New legislation enabling 4,000 Spezialfonds to invest in crypto assets becomes law in Germany on July 1.
• Spezialfonds are favored by institutional investors, and interest in them is now exploding, according to analysts.

This is a sensible approach. Trying to build a favourable legislative framework to attract investments in the most promising field, leaving other jurisdictions lagging behind.

[Lucius]

I’m not sure if I’m going to be wrong if I say that this is finally some good news from Europe, because all the important things mostly happen in the US or China, and this part of the world seems to be pretty reserved towards cryptocurrencies. I read the article and the funds mentioned really hold a fairly large amount of money ($1.8 trillion), and they will be allowed to invest up to 20% in crypto - although the article agrees that the number will be much smaller, but we can still expect tens of billions $ (theoretically hundreds of billions) to enter the crypto market.

I wonder what a woman who doesn't really favor cryptocurrencies will say about this decision (Christine Lagarde)

https://twitter.com/bitcoinmemehub/status/1349575100828442625

[Mauser]

Germany is confirming his leading role in crypto legislation in Europe:


'Damn Huge': Germany Opens Up to Institutional Crypto Funds

• New legislation enabling 4,000 Spezialfonds to invest in crypto assets becomes law in Germany on July 1.
• Spezialfonds are favored by institutional investors, and interest in them is now exploding, according to analysts.

This is a sensible approach. Trying to build a favourable legislative framework to attract investments in the most promising field, leaving other jurisdictions lagging behind.

It's good thar some countries are being more friendly towards crypto currencies than others. Only with competition between countries we can hope they things are getting better for us. The number of investment funds in crypto coins are expected to rise every year. But somehow my bank hasn't recommended any crypto funds. I keep getting recommendations every week for stock and commodity funds. It might be still a long way until even the smaller banks will offer such products.

[Vatimins]

     Indeed this is such a bullish news. The thing about this though is that it is yet to be approved but even so, I personally think that since it has been taken into consideration, then there must be a bug room for acceptance which then would be great for the german people. This news may just boost the use and buyung of Bitcoin in the coming months from now. The only frightening thing about this is they might include strict kyc and apply unreasonable taxes. I just hope they be fair to the german people.

[fillippone]

Crypto landscape is constantly evolving in Germany, who is leading the way in Europe.
Today’s news:

Deutsche Börse Group takes majority stake in Crypto Finance AG

Business rationale is in the article:

Deutsche Börse Group, the German exchange operator, has acquired a majority stake in Swiss fintech firm Crypto Finance AG.

Deutsche Börse will take a two-thirds majority shareholding in the business in exchange for an investment in “a moderate three-digit CHF million range,” according to a press release.

Crypto Finance AG offers crypto trading, storage and investment tools in over 200 digital assets for institutional and professional clients. The Zug-based business is regulated by The Swiss Financial Market Supervisory Authority (FINMA), the Swiss regulator.

Through the acquisition, Deutsche Börse aims to extend its digital assets capabilities by providing a direct entry point for investments, including post-trade services such as custody.

As we see, traditional, legacy operators, or better, the forward looking ones, understand the world is moving on fast, so they need to expand their services to digital assets to stay relevant.
Otherwise they will starve to oblivion.
It is something that makes sense, as there is an economic sense in being an all-around operator for institutional, but it require vision from these legacy subjects.

[AicecreaME]

This is, without any sugarcoating a good news all in all. Germany trying to integrate cryptocurrencies into traditional banks will make people believe in the said cryptocurrency more, knowing that the government has just given a green light for such. Either way, it may or may not receive the attention and traction it needs to get a boost, considering that fiat and banks are still the most trusted combination of people who don't know anything about bitcoin. It will take time, though people would soon realize the that it can work, albeit a slightly absurd way of handling things (banks handling a coin that promotes people to 'be their own bank')

I agree. It's another mission unlocked for bitcoin if ever the government of Germany will really accept and give go signal for cryptocurrency to be adopted by the traditional local banks. It will be another stepping stone to mass adoption. This kind of news makes me happy that the world is indeed keeping pace from the technology and innovation. It's nice to know that there are people, organizations, and institutions that are open-minded, knowledgeable, and willing to share the benefits of bitcoin to other people as well. Recently, El Salvador's bold move making bitcoin as a legal tender in their country garnered a lot of attention and inspired pther countries to make the same move.

Hopefully, in the future we can read continuous news and articles regarding this matter. Bitcoin is really the next big thing. I really do believe on its potential. Wishing other people to see it too the way we do.

[wiss19]

Crypto landscape is constantly evolving in Germany, who is leading the way in Europe.
Today’s news:

Deutsche Börse Group takes majority stake in Crypto Finance AG

This is basically another proof that Germany is the place to be in Europe for crypto stuff. After what UK did to Binance the other day, Germany is going the other direction and supporting it like crazy. I am not saying that what UK did was horrible, they are regulating and making it more legit so I am in full support of that as well but there is always a method of "just accept it as it is" as well which Germany is doing right now from the looks of it. I never expected it to be this easy for them to be fully embracing crypto, but by the looks of it they are.

Moderate three digit means about 500? I mean that is the middle of 100 to 1 billion, so I assume something like 300-800 range is too wide to call moderate, I would say 400 to 500 million seems to be the way to go. That means it is also about 300-500ish in American dollar as well, that is a HUGE acquisition.

[sapnu]

It seems that there are a lot of news already with regards to Germany being a crypto friendly nation and hearing that they will soon regulate bitcoin in their country, it would definitely make a huge impact in the market now and in the future if ever things works out well. Amongst all the countries in Europe, many are saying that Germany is a good place to start up a crypto investment specially with bitcoin now that such news have showed up and appears to be legitimate. Don't wast the chance if you live there, grab the opportunity and start investing already!

[fillippone]

Compared to other European countries, Germany has been trying to leverage regulation in order to place his domestic firms in the best possible competitive position to grasp the larger part of the booming crypto-related market.
Other countries,  Italy for example, had the opposite attitude, when they actively tried to use legislation to prevent their firms doing business in the crypto industry.

[Lucius]

It seems that there are a lot of news already with regards to Germany being a crypto friendly nation and hearing that they will soon regulate bitcoin in their country, it would definitely make a huge impact in the market now and in the future if ever things works out well.

Why do you say that Germany will soon regulate Bitcoin? As far as I know, the regulations regarding cryptocurrencies have been quite clear in that country for several years. Other than declaring a Bitcoin legal tender (good luck with that anywhere in the EU), I don't see what can be done legally to make the situation better than it is at the moment.

Compared to other European countries, Germany has been trying to leverage regulation in order to place his domestic firms in the best possible competitive position to grasp the larger part of the booming crypto-related market.

Things seem to be starting to change in that strategy as well, because how else to explain that Coinbase got a license for "crypto custody services and proprietary trading", and they say that this is the first license of this type issued in Germany.

https://www.reuters.com/technology/germany-grants-coinbase-licence-crypto-custody-services-2021-06-28/

[fillippone]

German lawmakers confirm themselves as quite proactive in regulating cryptos.
From Mondays institutional funds in Germany will be allowed to hold up to 20% in crypto.

Germany to Allow Institutional Funds to Hold up to 20% in Crypto

Germany plans to allow certain institutional funds to invest billions of dollars in crypto assets for the first time.


A law taking effect on Monday will let so-called Spezialfonds with fixed investment rules put as much as 20% of their holdings in Bitcoin and other crypto assets. The funds, which can only be accessed by institutional investors such as pension companies and insurers, currently manage about 1.8 trillion euros ($2.1 trillion).

It will be extremely intrteeting to know how much this possibility will be used in the coming months.

[goldade]

This is one of the most awesome news I have ever read on this forum. Germany is going to make a wave with this. This is simply integrating bitcoin into the fist system to make accessible to the local. Not only does this move makes bitcoin more accessible, when the local sees that bitcoin is held and being sold by banks, he believes in it and is ready to own some.
Trust me, this will in ways unimaginable pump the adoption of bitcoin so much in the mainstream world. We're looking at a bullish run very soon.

[DrBeer]

This is news on the one hand. And there is news on the other side: https://www.bloomberg.com/news/articles/2021-07-20/eu-proposes-ban-on-anonymous-cryptocurrency-transactions

I wonder how two, diametrically opposed "laws" will be fulfilled in reality?

[fillippone]

German banks confirm their hedge on continental Europe regarding Bitcoin Regulation.

Germany's Commerzbank Applies for Local Crypto License

Germany's Commerzbank (CBK) applied for a crypto license earlier this year, a spokesperson for the bank said. This makes it the first major bank in Germany to move towards crypto adoption.
* A bank spokesperson said Commerzbank wants to help shape emerging digital ecosystems, especially with regard to custody and trading in non-physical assets.
* “To this end, we entered into a cooperation with Deutsche Börse and Fin-Tech 330x in spring 2021. In addition, we are pursuing our own digital asset strategy and are also planning our own offerings for our customers in the coming years. We have applied for a license from the Bafin for the safekeeping of crypto assets. The future offer is initially aimed at institutional customers,” said Bernd Reh, Senior Spokesman, Commerzbank.
*

The funny thing is first Commerzbank shareholder with a 15% share is an agency of the German federal Government.


On a less serious tone, also @Stadicus300 informs us that Raffeisen is starting to sell Hardware Wallets in their branches: