Hyphe Partners with Bitvavo to Offer Crypto Trading in Germany
Hyphe Partners with Bitvavo to Offer Crypto Trading in Germany
Key Points
New Partnership Announcement
- Hyphe and Bitvavo Collaboration: Hyphe has partnered with Bitvavo to provide an intuitive crypto trading service for German investors.
- Service Offering: The service, “Bitvavo powered by Hyphe,” will offer German users access to over 300 cryptocurrencies through a user-friendly platform. Hyphe will handle the trading operations while Bitvavo provides the technical infrastructure.
Service Rollout and Testing
- Advanced Test Phase: The service is currently in an advanced test phase and will soon be available to all interested users via web and app.
- German Market Compliance: Despite Bitvavo withdrawing its application for a crypto custody license from BaFin (the German Federal Financial Supervisory Authority), the partnership with Hyphe, a BaFin-supervised entity, ensures compliance with German regulations.
Regulatory Challenges
- Strategic Decision: Bitvavo’s withdrawal from the BaFin application was described as a strategic decision, although there are speculations about potential conflicts with the regulator.
- BaFin Scrutiny: There have been accusations that BaFin has pressured applicants to withdraw their license applications, possibly influencing Bitvavo's decision.
Operational and Compliance Details
- Hyphe's Role: Hyphe, recognized for its high supervisory standards in Europe, will act as a liquidity provider and specialist in digital asset infrastructure.
- Custody and Banking Services: The custody of cryptocurrencies will be managed by Tangany, a BaFin-regulated custodian, and banking services will be provided by Sutor Bank.
Bitvavo’s European Expansion
- Growth in Europe: Bitvavo, originally from the Netherlands, has rapidly expanded its footprint across Europe, boasting over 1.5 million customers.
- CEO's Statement: Dolf Diederichsen, Co-Founder and CEO of Hyphe, expressed enthusiasm for the partnership, aiming to bring the best trading platform benefits to German private customers.
Conclusion
The partnership between Hyphe and Bitvavo marks a significant step in providing German crypto investors with a comprehensive and compliant trading platform. Despite regulatory hurdles, the collaboration ensures that German users can access a wide range of cryptocurrencies through a robust and user-friendly service.
For more check out our Blog: https://finixyta.com/my-monthly-crypto-journey-earning-176-20-from-web3-platforms-and-faucets/