BitGo, a leading US-based crypto custodian, has secured a cryptocurrency custody license from Germany’s Federal Financial Supervisory Authority (BaFin). This move follows BitGo’s provision of cryptocurrency custody services under BaFin supervision since 2019, operating under a transitional regime. Furthermore, in 2021, the company received approval from the New York Department of Financial Services (NYDFS) for a New York trust charter.
Germany has been actively creating a conducive environment for cryptocurrency custody and related services, positioning itself as a major player in Europe. The nation has enacted laws to encourage banks and custody specialists to securely handle digital assets.
Representatives from BitGo Europe noted the influential role of BaFin in shaping global crypto regulation and stressed the importance of maintaining a secure regulatory framework. They expressed satisfaction with obtaining the crypto custody license in Germany, highlighting BitGo’s diligent efforts toward this achievement.
BitGo recently secured $100 million in a Series C financing round in August 2023, bringing the company’s total valuation to $1.75 billion. While the investors’ identities were not disclosed, BitGo confirmed that the funds would be used for strategic acquisitions and expanding its regulated custody, wallet, and infrastructure solutions globally. The company emphasized the increasing demand for regulated custody solutions both in the United States and worldwide.