German savings bank, Sparkasse is set to implement bitcoin trading to its 50 million customers. The bank’s customers would be able to buy cryptocurrencies like bitcoin and ethereum through their checking accounts.
The Sparkassen, centuries-old institutions, are run by local supervisory boards, which comprises city council representatives and management boards. Savings banks provide services only to their region. They focus on loans and regional development.
Sources said this ‘secret project’ is the heart of the DSV Group. A dedicated team at the S-Payment division is working on it. Analysts say the group’s venture into the crypto market would enable a broader target group to trade BTC as other large banks are still shy.
If the project is given the go-ahead, the bitcoin trading offering could be launched in 2022. But sources highlight that each of the 370 branches, as per the regional principle of the savings bank, will independently decide whether or not to take up the new service.
The savings banks’ committee will vote on whether to go ahead with it or not in the new year. If it does get implemented, additional verification procedures, bitcoin exchanges, and intermediary transactions will not be required. This is because Sparkasse customers will be able to access bitcoin trading directly from their checking accounts. Analysts believe a green light will definitely be given as more German investors are keen on alternative investments and new-age technology.
This initiative comes after Germany’s new government, led by Chancellor Olaf Scholz, signed the coalition agreement. It highlights cryptocurrencies and blockchain technology for the country’s development.