Germany allows institutions to store funds legally

In Germany, a new law will come into effect, which will allow companies to diversify their assets. 20% of their assets will be in cryptocurrencies. The main contender will be Bitcoin, among other cryptocurrencies. Bitcoins will be accepted into the pension funds too.

It will modify all the previous governmental rules regarding Spezialfonds (funds allocated to pension funds and those who provide insurance). These funds are worth $2.1 trillion in assets. Why only 20%? Tim Kreutzmann from BVI said that these funds are regulated by strict rules and regulations.

Experts said that this law is an evolution directed towards the right way. Bafin (Federal Financial Reserve, Germany) is still asking investors to remain vigilant during these cryptocurrencies.

Incidentally, Germany is the first country to launch a comprehensive Blockchain plan this year. People say it will make crypto investing easier than before. It is also a place where exchange-traded products (ETPs) are quite common.