• DZ Bank, the second largest German bank by assets, is offering digital asset custody services to institutional clients.
• The financial institution has teamed up with Swiss firm Metaco and orchestration platform Harmonize for its upcoming crypto offerings.
• The platform was selected by DZ Bank through an extensive proof-of-concept and diligence process.
Germany’s Second Largest Bank Offers Crypto Custody Services
DZ Bank – the second-largest German bank by assets – is all set to offer digital asset custody services to its institutional clients. The BaFin-regulated financial institution and custody provider has joined forces with Swiss firm Metaco and orchestration platform Harmonize in order to provide its upcoming crypto offerings.
Selection Process of Harmonize Platform
The platform was selected by DZ Bank through an extensive proof-of-concept and diligence process that proved it to be a powerful solution for the lender. According to Nils Christopeit, Lead Solution Design Digital Custody at DZ Bank, “In terms of our security, scalability, and future requirements of our digital asset custody initiative for institutional clients, starting with crypto securities as per the German eWpG, Metaco Harmonize has proven to be a powerful solution that is fit for purpose and can support our intended operating model.“
Features of Harmonize Platform
Harmonize is designed to offer a versatile governance framework which comes with customizable risk and compliance controls „with full segregation of multiple business units and clients, guaranteeing isolation of policies, users, accounts, and assets“.
Assets Under Custody At DZ Bank
DZ Bank happens to be one of Germany’s largest custodians which have €297 billion in assets under custody at the end of 2020. As per reports from earlier this year itself: „The Frankfurt-based company had already been exploring ways into the digital asset market since 2019.“ This move will help them capitalize on their existing infrastructure in order to provide world class services related to cryptocurrency trading across Europe.
This development marks another milestone in traditional banks’ efforts towards expanding into the global crypto space. With such advancements being made in this field every day it looks like we are slowly but surely moving closer towards mainstream adoption of cryptocurrencies worldwide!