Bank of England warns banks over cryptos as German saving banks mull crypto wallet

Bank of England Governor Andrew Bailey warned banks and other financial institutions on 13 December that they should be "especially cautious" about holding cryptoassets until regulators go live with new rules. 

Speaking after the meeting of the Bank of England's Financial Policy Committee, he said: "The FPC considers that financial institutions should take an especially cautious and prudent approach to any adoption of these assets until such a regime is in place."

Meanwhile, the German Savings Banks Association, the umbrella organisation of the Savings Banks Finance Group, which comprises around over 400 savings banks and other financial services providers, has weighed into the crypto debate by setting up a pilot project to look at introducing a crypto wallet for savers.

The association comprises seven Landesbank groups, DekaBank, the Landesbausparkassen, eleven primary insurance groups owned by the savings banks, and numerous other financial service providers.

German magazine Capital reported that "The interest in crypto assets is huge," according to a spokesman for the German Savings Banks Association said who added that no decision had been taken and that the savings banks group was currently sceptical.