This German Banking Giant Will Offer Crypto Trading Services in 2024: Report

One of Germany's largest banking groups intends to launch crypto trading services for interested customers this year.

According to Bloomberg, the Cooperative Financial Group, which consists of more than 700 local banks, central banks, special service providers and institutions, plans to enter the pilot phase of the project soon.

DZ Bank to lead the Crypto business project

DZ Bank, the central bank responsible for the project, will lead the cooperative financing network. Souad Benkredda, who is in charge of capital markets operations at the central bank's board, told Bloomberg that primary banks will soon begin testing Bitcoin (BTC) and many other cryptocurrencies with clients.

“During the year, we will enter the trial phase for retail cryptocurrencies with the first cooperating banks… We want to offer not only one cryptocurrency business, but different cryptocurrencies. This is important for us,” said Bencreda.

Initially, DZ Bank had to work with Deutsche Württemberg Service Bank AG (DWP Bank), a savings guarantee service provider, cooperatives and private banks to implement the new project. However, the former now has a new unknown partner, so the deal has been modified.

The possibility of self-determination

Bencreda explained that the trading services offer autonomy as clients can trade crypto assets independently without advice. Referring to a study by Geno Association, she stated that every second bank wants to enable the solution for their customers and stated that the demand for such service among cooperative banks is strong. However, the institutions themselves have to make a decision.

While cooperative banks are keen to introduce crypto products to their offerings, German savings banks have been more cautious. The latter committee urged banks in their association to refrain from offering crypto trading services to their clients.

The cooperative's latest move comes nearly a year after DZ Bank partnered with Swiss firm Metaco and orchestration platform Harmonize to offer digital asset protection services to institutional clients. DZ says that the offering platform has been proven to be an outstanding solution and has been selected through an extensive validation and due diligence process.