Why Germany’s banking giants are moving into crypto
In a move set to redefine EU finance, some of Germany’s most powerful banks are entering crypto — on their own terms.
Deutsche Bank, with more than 1.6 trillion euro ($1.9 trillion) in assets under management, and the Sparkassen-Finanzgruppe, which oversees over $2.3 trillion, are preparing to launch regulated crypto services for institutional and retail clients by 2026.
Importantly, it represents a step toward digital assets from some of the continent’s most conservative institutions.
- Deutsche Bank is developing a crypto custody service tailored for institutional clients. It’s building this platform in partnership with Austria’s Bitpanda Technology Solutions and the Swiss custodian Taurus.
- Sparkassen-Finanzgruppe, serving nearly 50 million Germans through its Sparkasse app, plans to embed retail crypto trading directly into its existing mobile infrastructure, with a go-live target of mid-2026.
- Volksbanken Raiffeisenbanken (Genobanken), Germany’s cooperative banking network, is following suit. Through a partnership with Börse Stuttgart Digital, they’re preparing their own crypto trading and custody options.
These coordinated moves come on the heels of the MiCA regulation rollout, which offers long-awaited legal clarity for digital asset services across the EU.
For traditional banks, the timing is perfect: The risk of early entry has passed, and the frameworks for regulated crypto in Germany are, as of 2025, clearly defined.
Did you know? By 2025, nearly one-third of Germans (30% ) are expected to own crypto, up from under 6% in 2022, an adoption spike of 450% in just three years.
Who’s leading the German banking crypto adoption charge?
As we hinted in the section above, three names pop up in particular.
Deutsche Bank
Germany’s largest bank is no stranger to digital infrastructure. Since 2023, it’s been actively developing blockchain strategies, including a layer‑2 Ethereum solution – Project DAMA 2 – built on ZKsync.
The bank’s upcoming institutional crypto custody service will leverage Bitpanda for technical architecture and Taurus for secure asset storage. The goal is to deliver BaFin-compliant crypto custody designed for corporate and institutional use.
Sparkassen-Finanzgruppe crypto
As the country’s largest retail banking group, Sparkassen serves half of Germany’s population. Backed by over $2.3 trillion in assets and 370 local banks, it plans to roll out retail crypto trading via its Sparkasse app.
The infrastructure is powered by DekaBank, its in-house asset manager with $463 billion under management, and Börse Stuttgart Digital.
Volksbanken Raiffeisenbanken (Genobanken)
This cooperative banking group, with roughly 700 banks and $587 billion in assets, is exploring crypto services through back-end provider Atruvia and Börse Stuttgart Digital. Their pilot programs will introduce compliant retail crypto trading and secure custody features across participating regional banks.
What German banks are building
Germany’s top banks, including Deutsche Bank and Sparkassen, are launching regulated crypto custody and trading services by 2026, marking a major shift toward institutional crypto adoption under MiCA.
Crypto adoption by traditional banks
Deutsche Bank is preparing to launch a fully regulated crypto custody service in 2026. The platform will support key assets like Bitcoin (BTC) and Ether (ETH), with compliance engineered around MiCA and BaFin regulations.
Through its alliances with Bitpanda Technology Solutions and Taurus, Deutsche Bank is building institutional-grade storage for digital assets, with multi-layered security and audit trails fit for global clients.
This custody offering is a necessary backbone for any serious institutional crypto services in Europe. It also positions Deutsche Bank to compete with established players like Sygnum Bank and Zodia Custody.
Sparkassen crypto trading
Sparkassen’s crypto ambitions are focused squarely on the consumer. By mid-2026, customers will be able to buy and sell crypto directly within their Sparkasse banking app.
Trades will go through DekaBank’s back end, starting with BTC and ETH, wrapped in disclosure layers and compliance checks that align with Germany’s regulated crypto services framework.
With 50 million customers and a dominant retail presence, Sparkassen’s rollout could mark the largest wave of crypto adoption by traditional banks in the EU.
Deutsche Bank L2 blockchain
Alongside these initiatives, Deutsche Bank is quietly laying down technical infrastructure through its Ethereum L2 project, DAMA 2. Built on ZKsync, it enables tokenizing assets and the future rollout of tools like tokenized deposits and bank-issued stablecoins.
In internal reports and trials, executives have pointed to DAMA 2 as a potential base for future asset services under MiCA, an ambition that aligns with broader European stablecoin regulation discussions.
This development mirrors similar moves by major players like DZ Bank’s crypto pilot and the Landesbank-Bitpanda partnership.
Did you know? DZ Bank, Germany’s second-largest lender, rolled out a crypto pilot across 700 cooperative banks in September 2024, using Börse Stuttgart Digital’s infrastructure.
Why Germany’s crypto adoption matters in 2025
As of Dec. 30, 2024, the Markets in Crypto‑Assets Regulation (MiCA) officially took full effect across the European Union.
For the first time, banks and financial institutions have a unified legal framework for offering regulated crypto services in Germany and beyond, including custody, trading and token issuance.
For banks like Deutsche Bank and Sparkassen-Finanzgruppe, this legal clarity eliminates the gray areas that once kept crypto at arm’s length. As of 2025, with BaFin-aligned pathways and EU-wide coordination, major players finally have the green light to build.
Sparkassen’s move is particularly symbolic. Just a decade ago, it blocked customer access to crypto. Now, the group is set to enable Bitcoin and Ether trading for 50 million users.
With rising pressure from retail clients, asset managers and competing banks like DZ Bank, LBBW and DekaBank, the tone has shifted.
In 2025’s banking environment, missing the crypto wave means falling behind.
Did you know? Eric Trump warned in April 2025 that banks ignoring crypto risk becoming obsolete within a decade, citing challenges in speed and cost for traditional finance.
The bigger picture: Crypto in German savings banks
When the custodians of Germany’s banking system begin integrating digital assets, the signal is clear: The “wild-west” era of crypto is over. What comes next is regulated, scaled and deeply institutional.
With Deutsche Bank launching institutional-grade crypto custody, and Sparkassen and Genobanken preparing retail crypto trading, 2026 will mark a turning point when digital assets become a standard feature of Germany’s banking ecosystem.
What to watch as German banks enter crypto
- Timing: Both custody and trading rollouts are expected by mid‑2026, pending BaFin approvals and final testing.
- Assets: Services will likely start with Bitcoin and Ether, with expansion into tokenized deposits or bank-issued stablecoins already under discussion.
- Market impact: If Germany’s rollout under MiCA succeeds, it could spark a domino effect, prompting other EU banks to enter the space under the same framework.
Crypto’s image is changing before our eyes, from volatile and unregulated to integrated and institutional.
