Based on recent reports, Italy’s second-biggest banking institution is evaluating a move into digital asset services, which includes custody solutions.
As stated in a Friday Bloomberg report referencing individuals acquainted with the situation, the Milan-headquartered UniCredit is currently picking a technology partner to establish the underlying framework necessary for storing digital assets as well as enabling their purchase and sale.
The coverage from Bloomberg further noted that tokenized financial instruments, debt securities, the adoption of stablecoins, and direct exposure to cryptocurrencies are all being evaluated.
This development unfolds as various other European financial institutions broaden their cryptocurrency services. Spain took the initial step regarding retail clients, with BBVA launching bitcoin custody and trading services for every user through its mobile application, relying on internal custody technology rather than an external vendor, while Santander’s Openbank subsequently introduced a comparable trading platform.
In June, Cecabank—a Spanish custodial entity managing over €400 billion that serves as the foundation for more than 100 banking institutions—launched its cryptocurrency custody operations by collaborating with Bit2Me.
Meanwhile in Germany, Deutsche Bank is developing its custody framework utilizing the technological division of Bitpanda, and both Taurus and DZ Bank secured regulatory authorization from BaFin in January for the meinKrypto platform.
Fresh regulatory frameworks within the European Union, known as the Markets in Crypto-Assets Regulation (MiCA), supply financial institutions with a formal legal categorization, a designated regulatory authority, and a standard set of compliance duties for introducing crypto-related offerings.
UniCredit is counted among 37 banking institutions spanning 15 European nations collaborating to establish an entity named Qivalis, designed for the purpose of launching a stablecoin pegged to the euro.
During the previous year, the financial institution announced it would provide institutional clients with a structured financial instrument linked to the BlackRock’s iShares Bitcoin Trust exchange-traded fund, offering complete defense against downside risk.
Originally published at https://bitcoinmagazine.com/news/unicredit-working-on-crypto-custody.
