Deutsche Bank and cryptocurrency service

Financial conglomerate Deutsche Bank plans to launch a cryptocurrency custodial service aimed at large investors. This follows a December 2020 World Economic Forum (WEF) report.

The document states that Deutsche Bank's prototype Digital Asset Custody is intended to be "a fully integrated platform for institutional clients and their digital assets that enables seamless interaction with the broader cryptocurrency ecosystem".

Specific cryptocurrencies are not mentioned in the report, only the aim of the new service is stated to "provide security and accessibility to customers by offering an institutional-level solution for hot and cold storage of assets".

The launch is planned in phases. Eventually, the service will allow customers to not only store, but also buy and sell digital assets through prime brokers and "trusted" exchanges. The new product is aimed at asset managers, family offices, corporations and cryptocurrency funds.

Deutsche Bank's service will provide additional services tax assistance, lending and staking services, and asset management.

Deutsche Bank Digital Asset Custody's source of revenue will be fees for holding funds and later trading and other fees.

The financial giant has already finalised the concept. A minimally viable product is expected to be launched in 2021 with major companies participating in the pilot project.

Deutsche Bank analysts previously concluded that investors are increasingly choosing bitcoin over gold.