The German Federal Financial Supervisory Authority (BaFin) has awarded a crypto custody licence to BitGo, a U.S.-regulated cryptocurrency custody company.
According to a press release, BitGo, which was granted a New York trust charter by the New York Department of Financial Services (NYDFS) in 2021, has been storing cryptocurrency assets for its clients since 2019 as part of a transitional programme, likewise overseen by BaFin.
Germany has emerged as a frontrunner in Europe for cryptocurrency safekeeping, having enacted regulations encouraging banks and custody specialists to manage digital assets and provide associated services.
“BaFin is recognized as one of the world’s key trendsetters in crypto regulation. It enables the progress that digital currencies entail while creating a secure regulatory framework,” said Dejan Maljevic, the managing director of BitGo Europe, in a statement. “We have worked hard to obtain this license. Now we are pleased to have reached this milestone.”