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/