German-based Bank, WEG Bank, Gets Crypto Custody License in Estonia
German based WEG Bank has received its cryptocurrency trading and custody license from Estonia. The bank – which has courted a number of cryptocurrency projects – becomes the latest financial institution to have a regulated crypto trading desk. Despite the challenges in crypto regulation in its native country, WEG is hoping to be granted a license in Germany.
A tweet from WEG Bank’s official account published on August 25 reads,
“Working out of a premium regulatory environment is one of our key assets. We announce that as of today we have secured full access to a crypto trading and custody license in Estonia and are equally applying for a securities trading and custody license in Germany.”
There is a growing trend in cryptocurrency firms taking up an interest in the WEG Bank.
Over 30% Owned by Crypto Firms
In a report released on BEG this April, over 30% of the stake of WEG Bank is owned by cryptocurrency firms including TokenPay, Litecoin Foundation and NIMIQ. Such a high percentage by crypto-related firms opens the company to constant watch by authorities the need for regulatory compliance.
Estonia is held high as a crypto regulation heaven, with some reports suggesting Satoshi Nakamoto originates from the country. The country received delegates from the financial regulations department from Ukraine in June for e-governance, fintech and blockchain benchmarking.