German Savings bank wants to enable bitcoin for 50m clients.

It is common knowledge, that the world is steadily turning away from using fiat money as a form of legal tender, and is tilting towards the use of cryptocurrency. One major cryptocurrency which is in use is Bitcoin.

What is bitcoin and what makes it special?

This cryptocurrency was created in 2008 and is a decentralized digital currency that can be sent from user to user on the peer-to-peer bitcoin network without the use of intermediaries. It does not have a central bank or a single administrator. Transactions are then cryptographically authenticated by network nodes and published in a public distributed ledger known as a blockchain. Bitcoins can be exchanged for a variety of different currencies, as well as products and services.

Germany is currently one of the world’s most cryptocurrency-friendly countries.

The German arm of Coinbase was just granted a cryptocurrency custody business license by the country’s Federal Financial Supervisory Authority. Additionally, Deutsche Boerse, a German stock exchange operator, has listed over twenty cryptocurrency exchange-traded instruments on its digital exchange, Xetra. German banks aim to enable bitcoin for fifty million customers, according to recent reports.

A spokesman for the German Savings Banks Association corroborated this information, saying, “Cryptocurrency assets are gaining popularity among consumers. One out of every ten German Savings Bank clients claims to possess or have owned cryptocurrency assets. The Savings Banks Finance Group must investigate crypto assets as well, in light of their expectations”.

As a result of this, German Sparkassen, or savings banks, are now willing to allow consumers to invest in bitcoin directly from their checking accounts. The Sparkassen are a collection of commercial banks that operate independently in German-speaking countries but are linked together in a decentralized framework. They are reported to have a total asset value of roughly 1.2 trillion dollars.

These banks are developing a test platform with the goal of launching an in-house cryptocurrency wallet and exchange in 2022. However, this project has not yet been approved, and it is expected to be completed by the savings banks in early 2022.

S-payment, a German IT service provider, is currently developing an alternative for some customers to safely keep crypto assets in a wallet. A related endeavor should begin with individual savings banks, each of which should decide whether or not to introduce crypto trading on its own. However, according to many sources, including the Capital, a considerable number of savings institutions have expressed interest in this proposal.

This news has gained some sort of traction on social media, gathering various sentiments; both positive and negative. Some people believe the market is easy to manipulate and that people will lose their money because bitcoin is an easy way of cheating in this century ( quite a wild opinion I must say!).

How do people feel about this?

Some people are also on the fence; they can’t decide whether it’s a good step or one that will deplete the German economy in the coming years. Some people think it is an unnecessary move for banks to launch their in-house wallet and exchange since the regular bitcoin exchange platforms are working fine. you can know the cryptocurrency trading tips here.

On the other hand, some positive reactions have also been given towards this news. Some people believe it’s a step in the right direction and very soon, the rest of the world will catch up. Some think it’s super bullish news, and will cause the prices in the bitcoin market to rise. Some users think it’s about time this move is implemented, to improve on attaining a totally cashless economy.

A lot of people think it’s good news and is ready to start buying cryptocurrency so that they can profit from this scheme. Some think “bitcoin will go to the moon in 2022”. 

A very popular view, however, is that bitcoin is the next-generation savings technology and it’s nice that banks are already thinking in this direction. This approach will give them a chance to serve the next generation as well as the last, in terms of savings.

In conclusion, the world is evolving, and the trade and financial organs of the world must evolve alongside. Bitcoin has been around for a while and is here to stay. Joining the train might not be such a bad idea after all.

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