Deutsche Boerse Announces Plans to Launch Regulated Crypto Custody and Settlement Services for Institutional Clients

According to a Bloomberg report, Deutsche Boerse will launch the new services this year through its trading unit, Clearstream.

Deutsche Boerse, the leading exchange group in Germany, is set to launch regulated crypto custody and settlement services for its institutional clients, according to a Bloomberg report.

These services will be offered by Clearstream, Deutsche Boerse’s trading unit, and will be available to its 2,500 institutional clients as early as next month, April 2025.

Initially, Clearstream will focus on supporting the two largest cryptocurrencies by market cap, Bitcoin and Ethereum. However, the report adds that there are plans to expand and support other major coins in the future.

In addition to custody and settlement, Clearstream will also be expanding its crypto-related services to include staking, brokerage, and lending.

Deutsche Boerse will provide custody and settlement services through Crypto Finance AG, a subsidiary of Deutsche Boerse. The German exchange group acquired a majority stake in Crypto Finance back in 2021.

Commenting on the development, Jens Hachmeister, Clearstream’s head of new digital markets, stated that they are excited to launch these new services to their institutional clients.

These services are a key part of their strategy to create a complete brokerage, custody, and settlement offering for digital assets.

On the other hand, Stijn Vander Straeten, CEO of Crypto Finance, noted that institutional banking clients are increasingly demanding crypto services.

In response to this demand, large institutions are investing heavily to develop their own in-house crypto capabilities. According to Straeten, firms are allocating up to €5 million to build out these services.

As European businesses move to provide regulated crypto services to institutional clients with the implementation of the Markets in Crypto-Assets Regulation (MiCA), several firms are applying for licenses to operate.

This new regulatory framework, which came into effect on December 30, 2024, aims to provide greater clarity and safety for institutional clients investing in cryptocurrencies.

While many see MiCA as a positive step for global crypto regulation, especially for institutional clients, some have expressed concerns that its strict rules could have a negative impact on smaller crypto businesses and retail customers in Europe.

These concerns stem from the belief that the stringent regulations might make it difficult for smaller firms to obtain the necessary licenses, potentially leading to their exit from the European market.

Despite these concerns, several entities have already secured licenses under the MiCA framework. In January, Boerse Stuttgart Digital Custody became the first German-based crypto asset service provider to achieve full licensing status.

Deutsche Boerse has been actively expanding its footprint into the crypto market. Having recently launched spot crypto trading for institutional clients earlier this month, these customers will now gain access to custody and settlement services through Clearstream, Deutsche Boerse’s official trading unit.