German savings bank network to test cryptoasset trading for 50 million clients
The financial group Sparkassen-Finanzgruppe announced the launch in early 2022 of a pilot project for trading cryptocurrencies for clients of all savings banks in Germany.
In early 2022, the committees of Sparkasse (a network of German savings banks) will vote on a project that will provide savings bank customers with the ability to trade cryptocurrencies. In parallel, the development of a cryptocurrency wallet will be launched.
The Sparkassen-Finanzgruppe initiative came as a surprise to participants in the German financial market, since the intention was never announced anywhere, and the preparatory work was carried out in confidential mode. The Savings Banks Association and the Giro (DSGV) explained that this was a purely political project, which was initially viewed with great skepticism.
While other large German banks took a wait and see attitude, a dedicated team from the IT service provider S-Payment developed a preliminary concept for the implementation of the service in the Sparkassen-Finanzgruppe.
A DSGV spokesman said.
“There is tremendous interest in crypto assets from customers and Sparkassen-Finanzgruppe has made efforts to satisfy it. S-Payment, a subsidiary of DSGV Group, has focused on payment services as well as exploring the opportunities and risks associated with using a cryptocurrency wallet in which Sparkassen’s customers will store cryptoassets. ”
Sparkasse serves about 50 million customers, almost 60% of the German population. Thus, the merger of savings banks will gain a competitive advantage, and entry into the cryptoasset market will allow the financial group to gain a leading position in the industry. According to the concept, Sparkasse customers will be able to buy cryptocurrencies directly through their checking accounts. The project team announced that it plans to complete preparations for the pilot launch of the project in the first half of 2022 and declined to comment on further plans.
