Deutsche Börse
Credit: Video Media Studio Europe, Shutterstock

German securities marketplace Deutsche Börse has taken crypto investment to another level in Europe via the launch of a crypto spot platform for institutional clients.

The company has launched the Deutsche Börse Digital Exchange (DBDX) as a ‘regulated and secure ecosystem’ for the trading, settlement and custody of cryptocurrency assets. 

As a spot platform, DBDX will enable institutions interested in cryptocurrency to purchase and own assets with immediate delivery, in contrast to margin or derivatives trading.

Operational intricacies of the platform will see Deutsche Börse operate the trading venue whilst Crypto Finance (Deutschland) GmBH will provide settlement and custody services.

Deutsche Börse hopes that the new platform will leverage the existing connectivity to market participants built up by its share and securities trading operations over the past three decades.

Carlo Kölzer, Head of FX & Digital Assets at Deutsche Börse, comments: “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.

“This enhances market integrity and security. Crypto Finance, with its digital native capabilities in trading, settlement, and custody for crypto assets, will be a key part of the value chain. It is a first step towards realising Deutsche Börse’s ambition in the Horizon 2026 strategy to play a leading role in the digitalisation of asset classes.”

Investor interest in cryptocurrency, blockchain technology and other digital assets is at an all time high, with Bitcoin – by far the world’s most valuable and widely held crypto asset – recently valued at over $68,000, the highest such valuation since 2021.

Launching the DBDX ‘fills a gap in the market’ for crypto investors, Deutsche Börse believes, adding its ambition for the platform to place the company ‘at the centre of the growing institutional market for digital assets’.

Institutions which want to invest in crypto via the DBDC will initially have to do so on a Request for Quote (RfQ) basis followed by multilateral trading. 

Stijn van der StraetenStijn Vander Straeten, CEO of Crypto Finance, added: “As a well-established Swiss company with a strong commitment to regulatory compliance and delivering top-tier financial solutions, we have further strengthened our position with the introduction of Crypto Finance in Germany as the settlement agent and custodian. 

“This marks a pivotal moment in our mission to cultivate a resilient and trusted digital asset ecosystem together with Deutsche Börse, while also strengthening Crypto Finance’s well-established and regulated custody and settlement offering in Germany.”

Deutsche Börse’s move to launch a spot platform for cryptocurrency mirrors similar developments across the other side of the Atlantic. 

Earlier this year, the US Securities and Exchange Commission (SEC) approved a Spot Bitcoin ETF, enabling investors to purchase stakes in digital currencies and assets via a pool.

The parallel developments show that investor interest in cryptocurrency is being noticed by both regulators and private enterprises – however, this attention has not all been positive.

For example, the European Central Bank (ECB) recently outlined its concerns about the US Spot ETF approval, in particular voicing its belief that Bitcoin is not suitable as either a payment method or an investment.