Deutsche Bank Launches Institutional Digital Asset Custody Service for BTC and ETH

Deutsche Bank, Germany's largest bank, is launching a digital asset custody service for European institutional and corporate clients, allowing them to store and transfer assets including Bitcoin (BTC) and Ethereum (ETH).

The bank announced it will begin offering the service this year to its first customers once regulatory procedures are finalized. The custody solution enables institutions to securely hold digital assets without managing their own infrastructure.

Initially, the service will support BTC, ETH, USDC, and EURC stablecoins, with plans to expand based on client demand, product approvals, risk management, and regulatory processes. Tokenized financial products are also planned for future inclusion.

The custody system incorporates security measures including key generation, hardware-based protection, job separation, multi-signature approval processes, and a segregated hot-wallet and cold-wallet environment with backup and recovery systems. Some technical components will leverage external technology providers.

Initial service targets include corporate banking and investment banking clients such as corporations, asset managers, hedge funds, custodians, brokers, and sovereign wealth funds. Client eligibility is determined by Deutsche Bank's assessment criteria, due diligence requirements, and risk management policies.

Gerald Podobnik, Co-Head of Corporate Banking at Deutsche Bank, stated: 'Digital assets are not meant to replace traditional financial systems but serve as an important complement.' He added that the service aims to provide clients with a safe, regulated pathway into evolving markets, with further development based on client demand, regulatory requirements, and the bank's risk tolerance.