Bitpanda Unveils Institutional Crypto Platform

Bitpanda is launching Bitpanda Wealth, a cryptocurrency trading platform catering to institutional clients in response to growing demand.

The Austrian fintech unicorn Bitpanda has decided to establish a cryptocurrency trading platform that meets the requirements of institutions, as the demand for institutional bitcoin services in Europe continues to rise.

Established in 2014, Bitpanda a prominent cryptocurrency broker has introduced Bitpanda Wealth (BW), a new service targeting high-net-worth individuals, family offices, external asset managers and corporate treasuries.

On January 30th, it announced that the new institutional platform is built on the same infrastructure trusted by several influential European banks.

In addition to providing leverage products, exchange-traded funds, commodities, and other assets, BW offers a suite of services that are designed to simplify cryptocurrency investing, management and reporting.

In an interview Eric Demuth, he stated that the company is focusing its attention on a market in Europe that “seems underserved.”

In addition to the fact that it has dealt with “numerous private banks and affluent clients who have expressed a need for a distinct service,” Demuth stated that “there is a notable interest in this area, yet it lacks adequate solutions.”

Demuth mentioned that the new institutional platform utilizes it’s patented custody solution known as Bitpanda Custody (BC). This solution utilizes cold storage to ensure the security of its customers’ assets.

BC established and registered with the Financial Conduct Authority of the United Kingdom, offers institutional investors, service providers, token issuers, and corporate treasuries separate wallets.

Demuth states that cold storage, also known as a cold wallet, is one of the most secure methods for storing the private keys that determine access to cryptocurrency assets.

Cold wallets unlike online hot wallets frequently used by cryptocurrency trading platforms, are not connected to the Internet. This dramatically reduces the likelihood of security breaches and hacks occurring.

“When it comes to asset security, we are monitored by multiple financial market authorities, and have our funds and business practices regularly validated by external parties. We are trustees on behalf of our users, and all of their funds are held in cold storage — that’s a major difference between Bitpanda and an exchange.”

In 2019, The Cryptocurrency company had previously introduced Bitpanda Pro, a brokerage services platform and an over-the-counter trading desk, geared toward institutions.

After completing a Series A funding round worth 30 million euros in 2021, Bitpanda Pro changed its name to One Trading. Eric Demuth stated that One Trading completely separated from the company after a successful Series A.

The cryptocurrency company in Europe, has been actively collaborating with regional authorities to acquire the licenses that are required for it to offer its services.

In October 2023, it obtained a license to operate as a virtual asset service provider in Norway. In addition, the company has been issued licenses in a number of other European countries, including Austria, Germany, France, the Czech Republic, and Sweden.

Raiffeisenlandesbank Niederosterreich-Wien, which is owned by Raiffeisen Bank was also aided by Bitpanda in the launch of cryptocurrency trading services in 2023.