Deutsche Borse, a German securities exchange, in collaboration with custody provider Crypto Finance has formally launched its cryptocurrency trading platform for institutional clients.
March 5 marked the debut of Deutsche Borse Digital Exchange (DBDX), the company’s proprietary cryptocurrency spot platform for institutional clients.
Established in partnership with Crypto Finance, a custody provider, the DBDX provides a secure and regulated environment for exchanging, settling, and storing crypto assets.
According to Deutsche Borse, the DBDX will initially trade on a request-for-quote (RfQ) basis, similar to how a company requests quotations from a subset of its suppliers and contractors.
A multilateral trading facility, a trading system that facilitates the exchange of financial instruments among multiple participants, will follow the RfQ trading.
The announcement states that the DBDX intends to offer cryptocurrency trading services to clients in Germany and additional European markets.
“Our new solution is a game changer for digital ecosystems. We aim to provide trusted market operations for crypto assets, ensuring transparency, security, and regulatory compliance for institutional clients in Europe,” Deutsche Börse’s head of digital assets, Carlo Kölzer, noted.
He stated that the new platform is the initial stride toward achieving Deutsche Borse’s Horizon 2026 objective of being a market leader in the digitalization of asset classes.
Deutsche Borse initially intended to introduce a digital asset platform by the end of 2023. The German Federal Financial Supervisory Authority (BaFin) granted Crypto Finance four licenses in February, allowing the company to offer regulated digital asset trading, settlement, and custody services within Germany. The regulatory milestone was an additional prerequisite for the launch of the DBDX.
Deutsche Borse’s recent foray into providing cryptocurrency trading reinforces the organization’s optimistic stance towards cryptocurrencies, given its substantial engagement in the sector over the previous few years.
Deutsche Borse’s electronic trading platform, Xetra, has listed various investment products related to cryptocurrencies, including exchange-traded Bitcoin and Ether instruments issued by prominent European issuers such as 21Shares.
Additionally, the securities market has been investigating the potential advantages of blockchain technology for processes such as securities financing.
