Germany's DekaBank has been granted a crypto custody license for banks by the country's regulator BaFin and the European Central Bank (ECB). Commerzbank was the first German bank to receive a license last year, while other major banks have not yet been granted a license, including DZ Bank. BaFin has issued an additional 11 cryptocurrency custody licenses, primarily for cryptocurrency companies. One of them is the digital asset custody sub-unit of Hauck Aufhäuser Lampe Privatbank.
Today DekaBank said it has issued a "crypto security" - a digital bearer bond, without the use of a central securities custodian or other intermediary. As part of the European Central Bank's (ECB) wholesale DLT settlement trial, Melzer Bank purchased the bond using central bank funds. Deutsche Bundesbank's trigger solution enables delivery and payment transactions to be executed.