Deutsche Bank prepares crypto custody launch, targets Asia growth

Deutsche Bank Launches Crypto Custody Service, Sets Sights on Asia Growth

Deutsche Bank's Entry into Digital Asset Services

By Selena Li

Imminent Launch of Crypto Custody in Germany

BANGKOK, Oct 16 (Reuters) - Deutsche Bank is weeks away from launching its first digital asset service, marking a push into crypto custody as Germany's biggest lender seeks to tap growth in the digital economy, its corporate banking chief told Reuters.

Expansion Plans for Asian Markets

After the launch in Germany, the bank plans to expand the custody platform into Asian financial centres next year, Gerald Podobnik, co-head of the corporate bank, said on the sidelines of the IMF and World Bank meetings in Bangkok.

Strategic Growth Objectives

The move forms part of Deutsche Bank's broader strategy to achieve compound annual growth of 8% in corporate banking by 2028, said Podobnik, a 23-year veteran of the lender.

Rationale Behind Digital Expansion

He cited the rapid growth of the digital economy, including hundreds of billions of dollars held in stablecoins, as evidence that new pools of value have emerged over the past two decades.

Integrating Blockchain Solutions

"I believe that, as the financial system, we will need to offer tokenised or blockchain solutions to our clients as additional services alongside our traditional ones ... but not necessarily to replace what we are doing today," Podobnik said.

Service Rollout and Future Offerings

Initial Crypto Custody and Expansion

The phased rollout will initially support custody of major cryptocurrencies such as bitcoin and ether before expanding to services that help clients move money into and out of mainstream stablecoins.

Tokenised Deposits and Digital Securities

Deutsche Bank also plans to offer tokenised deposits and help clients issue blockchain-based securities such as digital bonds, Podobnik said.

(Reporting by Selena Li in Bangkok. Editing by Mark Potter)