The biggest German lender, Deutsche Bank, is allegedly working on an Ethereum-based layer-2 (L2) blockchain leveraging ZKsync technology to solve the problems with public blockchain compliance in regulated financial services.
Bloomberg reports that the L2 solution, which is a component of Project Dama 2, aims to integrate directly with Ethereum to boost transaction efficiency and secure regulatory safeguards. Part of Project Guardian, which gathers 24 banks to investigate asset tokenization on the blockchain, is Project Dama 2, which is run by the Monetary Authority of Singapore.
Deutsche Bank’s Blockchain Push for 2025
To reduce potential dangers, such as dealing with sanctioned firms, Deutsche Bank has developed a system that selects reliable validators and gives authorities further control over the process. The platform’s design prioritizes balancing financial compliance needs with blockchain openness.
Deutsche Bank’s proposal shows a desire to use Crypto Expansion Plans while navigating regulatory challenges. It could encourage other financial institutions to start asset servicing or similar plans.
According to Bloomberg, other banks might engage with decentralized networks more frequently if Deutsche Bank’s strategy works. The next key stage in determining the release of the bank’s L2 blockchain is regulatory approval, even though. The platform is expected to be launched as a minimum viable product in 2025.
Layer 2 Blockchain Speed with Oversight
Faster and cheaper transactions are made possible by layer 2 blockchains, which operate on top of dominant layer 1 networks like Ethereum. To help with regulatory oversight, the system provides features like. Super admin rights,” which allow for the auditing and monitoring of financial transactions as needed.
Deutsche Bank & Crypto com Partner
Deutsche Bank and Crypto.com announced a partnership on December 10 to expand corporate banking services. Asia-Pacific, including Hong Kong, Singapore, and Australia.
Deutsche Bank provides a range of banking services to cryptocurrency enterprises. Including fiat-to-crypto Expansion Plans for cross-border trade. The German bank has dropped hints about potential collaborations in the UK and elsewhere in Europe.
FAQs
What does Deutsche Bank's blockchain solution aim to achieve?
The blockchain solution aims to improve transaction efficiency on Ethereum while ensuring regulatory safeguards and compliance in the financial services industry.
What is the role of Project Guardian in Deutsche Bank's blockchain efforts?
Project Guardian involves 24 banks investigating asset tokenization on the blockchain, with Deutsche Bank's Project Dama 2 as part of the broader initiative.
How will Deutsche Bank's blockchain solution address regulatory concerns?
The system will include features like "Super admin rights" to allow for better auditing and monitoring of financial transactions, ensuring compliance with financial regulations.
hen is Deutsche Bank's blockchain platform expected to launch?
The platform is expected to launch as a minimum viable product in 2025, pending regulatory approval.
