The Deutsche Bundesbank is the fourth central monetary authority to conduct research in conjunction with MIT’s Digital Currency Initiative.
Germany News
Germany, officially the Federal Republic of Germany, is a country in central-western Europe. Germany is a powerful country with a strong economy that is fourth in the world by nominal gross domestic product, or GDP. Germany has an evolving regulatory setup for crypto businesses overseen by Germany’s Federal Financial Supervisory Authority (BaFin). Assessment depends on the nature of tokens and involves laws like the German Securities Trading Act and MiFID 2 for financial instruments.
Section 1 (11) sentence 5 of the German Banking Act excludes certain items from being considered crypto assets, such as electronic money, limited network payment systems, specific electronic vouchers, and non-tradable electronic tokens in multipartner programs.
Germany is considered crypto-friendly and treats cryptocurrencies like Bitcoin (BTC) as private money under tax laws. Cryptocurrency transactions by individuals in the European Union, including Germany, are exempt from value-added tax (VAT). Short-term capital gains (held for less than a year) are subject to income tax at regular rates, capped at 45% plus 5.5% Solidarity Tax. Profits under 600 euro are tax-free. Assets held for over a year incur no tax liability. Long-term holdings, even if value increases, remain tax-free. Germany’s stance favors long-term investors, providing exemptions for small transactions and VAT, promoting a friendly environment for crypto enthusiasts.
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The Landesbank Baden-Württemberg will start offering crypto custody services to institutional clients starting in the second half of 2024.
4364Germany is experiencing a renewed interest in the metaverse, which is focused on concrete applications in public administration and industry.
1028The Greens think the current one-year holding tax exemption for crypto is unfair and are seeking to abolish it.
1030The global competition for AI supremacy intensifies as companies consider relocating and countries offer incentives to attract AI talent.
4482Launched jointly with the custody provider Crypto Finance, the DBDX offers an ecosystem for crypto trading, settlement and custody for institutions.
7210Microsoft continues its European investment spree by announcing a $2 billion investment in Spain to expand its AI and cloud infrastructure and build data centers.
4118The German Bundestag will host an educational Bitcoin event, and a pro-Bitcoin draft bill aims to make BTC legal tender in the country.
2106Over the next two years, Microsoft has pledged to invest the funds to boost AI infrastructure in Germany as Big Tech companies continue to pour into Europe.
2857Crypto Finance was bought by Deutsche Börse in 2021. Now it is likely to play a role in its planned institutional crypto exchange.
7932The approval on Feb. 2 came as France and Germany withdrew their objections to the AI Act.
5966According to the Saxony police, “a final decision has not yet been made about the utilization of the Bitcoin.”
9933Switzerland and Germany were hit hardest during the most recent trading week, but Canadian ETFs had the largest outflows in January, CoinShares’ data shows.
4933Humans tend to trust robots more when they speak our dialects, but there are exceptions, according to recent research.
4877Bitcoin’s futures premium indicates that the bullish momentum is no longer present, so is BTC price at risk of a trend reversal?
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