Coinbase Germany Obtains License to Provide Cryptocurrency Custody Services

The Federal Financial Supervisory Authority (BaFin) has issued the American cryptocurrency exchange Coinbase permission to provide cryptocurrency custody services and proprietary trading. The German division of the American crypto exchange – Coinbase Germany GmbH – received the first license granting the right to custody cryptocurrencies in Germany.

In March of this year, the German regulator recognized cryptocurrency as a financial instrument, and cryptocurrency custody services as a financial service. Proprietary trading includes trading in stocks, bonds, commodities, currencies, or other instruments. BaFin also formed an interdisciplinary and interagency team to address issues related to the provision of cryptocurrency custody services.

Since going public in the US with a direct listing, Coinbase shares have dropped below their starting price of $250 on the Nasdaq. At the time of this writing, COIN is trading at $239.49, about 30% below the April 14 price mark.

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