Reported by Handelsblatt on November 27, the bill will officially in effect starting 2020, should 16 states across Germany reached a general agreement, as the bill has been initially approved by Bundestag – the German federal parliament.
Currently, any crypto-related facilitation of transactions, conducted by Germany-based banks and financial establishments to support their customers, are considered illegal. Should the new bill goes in effect, this state will be changed.
Despite the fact that the draft version of the new law reportedly came with a “separation clause”, by which banks have to make recourse to external digital coins custodians or dedicated subsidiaries, this clause has been excluded in the newest bill.
The new bill will provide extensive support in making banks’ crypto-focused operations more efficient and effective.
“Starting in 2020, financial institutions will be able to offer their customers online banking, virtually at the touch of a button, along with classic securities such as stocks and bonds, as well as cryptocurrencies.”
“Germany is well on its way to becoming a crypto-heaven. The German legislator is playing a pioneering role in the regulation of cryptocurrency.” Sven Hildebrandt, Distributed Ledger Consulting CEO, shared his remarks regarding the news.