Donner & Reuschel, a private bank headquartered in Hamburg, Germany, announced its plans to offer cryptocurrency services, initially by adding digital currency purchasing and custody.
With operations across Germany, Donner & Reuschel is one of the oldest German private banks established in 1798. It has around €9 billion ($10.7 billion) in assets under management.
In the official announcement, the private lender detailed that its foray into crypto was prompted by the high market demand for digital assets custody services. In addition, the bank is seeking the consultation services of DLC Distributed Ledger Consulting GmbH for guidance in the new business arena.
Though Donner & Reuschel did not provide any specific date for the launch of its new services, it assured that it will add them “as soon as possible.”
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Commenting on the upcoming digital currency services, Marcus Vitt, the spokesperson for the private bank’s board, said (translated from German): “We have been observing the digital assets market for quite some time and are convinced of the potential of blockchain technology with regard to classic securities transactions.”
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In addition to the buying and custodian services, the German lender has plans to introduce asset tokenization services, which is regarded as one of the most sought blockchain-based services in the mainstream financial industry.
“Blockchain technology will result in the greatest structural change in the financial industry that I have been able to experience so far in my 20-year banking career,” Vitt added.
The German private lender is not alone or even the first to add such crypto services. Many established public and private banks across the globe have introduced cryptocurrency services due to the demand among their client base. Most recently, Bordier & Cie, a Swiss private bank, entered the crypto arena with buying, holding and trading services with some top digital currencies.