Stuttgart Stock Exchange Unit Secures BaFin License for Crypto Custody

Blocknox, a part of Boerse Stuttgart's digital unit, has received the final license as a crypto custodian from Germany's financial regulator, BaFin.

The license means Boerse Stuttgart Digital will be able to provide institutional investors with services for trading crypto as well as fiduciary custody, Germany's second-largest stock exchange said in an email Thursday. Among the institutions it expects to make use of the offering are banks, brokers, asset managers and family offices.

BaFin licensing will allow the exchange to offer a "one-stop shop that's fully regulated in Germany for brokerage, trading and custody of digital assets," Matthias Voelkel, CEO of the exchange, said in the email.

Boerse Stuttgart, which is the sixth-largest stock exchange in Europe and which ranks behind the Frankfurt exchange in Germany, has been venturing into crypto services for several years. It unveiled a crypto trading app, Bison, in 2018, reporting that it reached trading volume of over $2.4 billion in 2021. The company didn't immediately respond to a request for a more recent figure.

UPDATE (March 30, 11:19 UTC): Replaces Bison's 2020 trading volume with that in 2021 in last paragraph

Edited by Sheldon Reback.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Jamie Crawley

Jamie Crawley is a CoinDesk news reporter based in London.

Follow @JamieCrawleyCD on Twitter

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.