Responding to a request by Thomas Lutze, member of the left-wing political party Die Linke, the Federal Financial Supervision Authority of Germany (BaFin) confirmed that the cryptocurrency activity is already being carried out by institutions under its jurisdiction.
The answer of BaFin concerned companies dealing with cryptocurrencies or accepting them, however, there were no specific names of banks or firms.
Regulation of cryptocurrency in Germany
Meanwhile, Germany remains a country that has not yet decided on its position on the regulation of the cryptocurrency sector. Last month, members of BaFin “shared supervisory experience” in the field of cryptocurrency with representatives of the central bank of Georgia.
Also in June last year a new working group was formed in Germany – Blockchain Bundesverband, which operates in the Bundestag.
In its reply, Lutz BaFin also noted that it has not yet received open statements about money laundering or other suspicious activity related to cryptocurrencies among the institutions interacting with digital assets.
Risks and illegal activity
Nevertheless, BaFin continues to report fraud in the cryptocurrency environment, which is being fought by the Financial Intelligence Unit, which was founded in the second half of last year. At the moment, the Department has already sent 280 warnings.
Regarding financial stability, BaFin noted that cryptocurrencies are not a risk factor in this issue, which also coincides with the position of the Central Bank of Russia.