Key Points
- Clearstream is to launch Bitcoin and Ethereum custody and settlement services for its institutional clients in April.
- The company plans to expand its cryptocurrency services to include staking, lending, and brokerage.
Clearstream, a central securities depository branch of Deutsche Börse Group, is set to offer cryptocurrency custody and settlement services to its institutional clients beginning in April.
This decision, as reported by Bloomberg, was confirmed by a company executive. Clearstream, which is based in Luxembourg, will initially support Bitcoin and Ethereum but has plans to further extend its services to other cryptocurrencies and offerings such as staking, lending, and brokerage.
Crypto Services Expansion
These services will be made accessible to Clearstream’s 2,500 clients via their Clearstream Banking SA accounts. The offering will be facilitated by Crypto Finance, a majority-owned subsidiary functioning as a sub-custodian.
Jens Hachmeister, head of issuer services and new digital markets at Clearstream, commented on the launch, stating that the company aims to create a “one-stop shop around custody, brokerage and settlement”. He also hinted at the possibility of extending these services to stablecoins and tokenized securities in the future.
Crypto Finance CEO Stijn Vander Straeten has noted a “very high demand” for crypto from international banking clients, revealing that firms often invest up to €5 million to develop in-house crypto capabilities.
Financial Institutions Embrace Crypto
This move by Clearstream is in line with the trend of major financial institutions expanding their presence in the crypto space, bolstered by regulations like the E.U.’s Markets in Crypto-Assets, or MiCA framework which was implemented last year.
For example, BBVA, the second-largest Spanish financial institution by asset volume, is also preparing to launch a new crypto trading service in Spain. This service will enable customers to purchase and manage Bitcoin and Ethereum.
Customers in Spain will be able to manage their crypto transactions alongside their regular banking activities, according to BBVA. The bank plans to utilize its own custody platform for cryptographic keys, eliminating the need for third-party providers.
