The Frankfurt-based bank announced receiving the license under the German Banking Act on Wednesday. The license enables Commerzbank to launch institutional-grade custody and additional crypto offerings for clients.
Expanding Crypto Adoption Among European Banks
The move highlights growing crypto adoption by mainstream European banks after years of wariness around digital asset risks.
Banks cite rising client demand as a key driver toward expanding crypto services. The licensing also provides transparency into crypto activities for regulators.
Other European lenders making similar moves include Societe Generale, which received France’s inaugural crypto license in July, and German co-operative bank DZ Bank with its recent digital asset custody platform.
As the fourth-largest bank in Germany, Commerzbank’s custody license represents a significant milestone for mainstream crypto adoption in the country’s banking sector.
The bank highlighted the approval will allow it to “build up a broad range of digital asset services, with particular emphasis on crypto assets.”
“This highlights our ongoing commitment to applying the latest technologies and innovations, and it forms the foundation for supporting our customers in the areas of digital assets.”Dr Jörg Oliveri del Castillo-Schulz, COO of Commerzbank
Commerzbank noted that no other major German full-service bank has so far acquired such comprehensive crypto licensing. The custody availability unlocks institutional-grade crypto access for a large client base.
The licensing follows growing openness to crypto across European finance amid the recovery from 2022’s bear market and ‘crypto winter.’
Commerzbank’s custody services arrive as interest in secure, regulated crypto exposure continues to return across institutional investors and wealthy clients. However, concerns around enforcement gaps persist across European crypto oversight bodies.