Deutsche Bank and cryptocurrency trading platform Bitpanda have partnered to allow German crypto traders to conduct incoming and outgoing transactions in real-time.
The collaboration bolsters transaction security and efficiency, thereby furnishing Bitpanda’s users in Germany with substantial liquidity.
The collaboration between Bitpanda and Deutsche Bank will grant the cryptocurrency trading platform access to German International Bank Account Numbers (IBANs) via an application programming interface (API)-based account solution.
Internationally recognized banking area numbers (IBANs) facilitate the secure processing of international remittances by financial institutions. Bitpanda intends to increase the security and efficacy of fund transfers through this service. Among other advantages, Bitpanda users in the region will receive a German IBAN for deposits and withdrawals.
Deutsche Bank will, therefore, process all requests for fiat deposits and withdrawals from Bitpanda to ensure real-time settlements.
Cash Settlements in Real-time for Crypto Traders
Lukas Enzersdorfer-Konrad, Deputy CEO of Bitpanda, emphasized to Cointelegraph the significance of banks in facilitating the widespread adoption of cryptocurrencies.
The platform has partnered with significant financial institutions such as Raiffeisen Bank International, LBBW, and N26 to promote the adoption of cryptocurrencies. What he stated was:
“We have made a point over the last decade of focusing on trust, compliance, and security, and that’s what makes these leaps forward possible. You can’t buy trust or integrity; you have to earn it, and that’s what we’ve done.”
To facilitate Bitpanda’s treasury operations and reconciliation processes, Deutsche Bank will furnish value-added payment solutions and safeguarding accounts. Bitpanda anticipates that this will ultimately increase liquidity in its primary markets.
Banks and cryptocurrency adoption
According to Enzersdorfer-Konrad, crypto-bank partnerships are in the end-user’s best interest.
“Our infrastructure enables these banks to offer their customers the full capabilities of a first-class crypto product. It is a sign of the maturity of players like Bitpanda that we can now add Deutsche Bank as a major international bank to the list of institutions that partner with us.”
The Markets in Crypto-Assets Regulation (MiCA) framework has incentivized the largest institutions in Europe to develop crypto solutions by establishing regulatory clarity.
According to Enzersdorfer-Konrad’s prior interview with Cointelegraph:“European banks are moving into crypto as an asset class and tokenization technology because MiCA, the upcoming regulatory framework for Europe, is suddenly bringing full clarity for banks.”
Enzersdorfer-Konrad stated that banks have come to recognize their deficiency in technical knowledge due to their propensity to prioritize product introduction over research endeavors.
Regulatory clarity also inspires European banks’ confidence in their ability to provide cryptocurrency services. Nevertheless, their technical expertise and infrastructure need to be improved, compelling them to rely on crypto service providers like Bitpanda.
