Deutsche Bank desires to construct a ‘so-called’ Layer 2 on the Ethereum community: report

Deutsche Bank desires to construct a ‘so-called’ Layer 2 on the Ethereum community: report

Deutsche Bank is reportedly constructing a Layer 2 below an asset-servicing pilot undertaking referred to as Dama 2 as a part of the lender’s aim to clear regulatory hurdles for establishments who wish to use public blockchains.

In accordance with a Bloomberg report revealed on Dec. 18, German banking large Deutsche Bank AG is within the means of constructing a “so-called” Layer 2 for a public community. The lender hopes the undertaking will clear regulatory challenges confronted by monetary corporations attempting to include public blockchains into their operations.

Final month Deutsche Bank launched a take a look at model of Mission Dama 2, which features a Layer 2 that’s constructed on the Ethereum (ETH) community, the second-largest cryptocurrency community by market capitalization after Bitcoin (BTC).

Deutsche Bank’s Asia-Pacific trade utilized innovation lead, Boon-Hiong Chan stated that public blockchains like Ethereum pose a danger for monetary establishments coming into the blockchain, as corporations harbor worries of interacting with criminals or sanctioned entities throughout the ecosystem.

It is because, in accordance with Chan, establishments have no idea “who exactly is validating the transactions” and whether or not transaction charges might fall into the pockets of sanctioned entities. There’s additionally the looming risk of dealing with a “hard fork” within the ecosystem that would transform the digital ledger.

“Using two chains, a number of these regulatory concerns should be able to be satisfied,” stated Chan to Bloomberg, including the financial institution remains to be ready on regulatory approval but it surely hopes to launch the product at the least viable by subsequent 12 months.

Chan believes the built-in Layer 2 can pave the best way for banks to discover new alternatives inside public blockchains, permitting them to curate a “more bespoke list of validators” that may course of digital-asset transactions to earn rewards.

As well as, he said that regulators might be given “super admin rights” that lets them monitor the motion of funds throughout the blockchain to identify illicit transactions.

“You are not dependent on the Layer 1 for detailed transaction records anymore,” stated Chan.

Mission Dama 2 is a part of a good bigger initiative shaped by the Financial Authority of Singapore referred to as Mission Guardian. Mission Guardian brings collectively 24 main monetary corporations which are exploring methods to make the most of the blockchain to tokenize property. Although, the undertaking has raised questions on simply how deep banks are prepared to enterprise with regards to the crypto sphere.

The Dama 2 particularly was born from collaborations with crypto corporations Memento Blockchain and Interop Labs. The platform was constructed utilizing ZKsync know-how.

As early as Could 2024, Deutsche Bank introduced it was within the means of testing an unnamed Ethereum-based platform. The financial institution stated the platform would supply companies centered round tokenized funds.

Deutsche Bank joined Mission Guardian on Could 14, aiming to check the feasibility of asset tokenization alongside different main banking corporations akin to JPMorgan Chase & Co., DBS Group, and Ant Worldwide amongst others.

Supply hyperlink

author avatar
Crypto Dunia
bitcoin
Bitcoin (BTC) $ 108,115.97 0.89%
ethereum
Ethereum (ETH) $ 2,448.93 1.01%
tether
Tether (USDT) $ 1.00 0.01%
xrp
XRP (XRP) $ 2.19 0.39%
bnb
BNB (BNB) $ 650.51 0.72%
solana
Solana (SOL) $ 151.68 3.72%
usd-coin
USDC (USDC) $ 1.00 0.01%
tron
TRON (TRX) $ 0.275548 0.06%
dogecoin
Dogecoin (DOGE) $ 0.164686 1.94%
staked-ether
Lido Staked Ether (STETH) $ 2,447.07 0.97%
cardano
Cardano (ADA) $ 0.563682 1.21%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 108,129.97 0.95%
hyperliquid
Hyperliquid (HYPE) $ 38.94 6.21%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,957.90 1.21%
bitcoin-cash
Bitcoin Cash (BCH) $ 490.85 0.28%
sui
Sui (SUI) $ 2.80 2.49%
chainlink
Chainlink (LINK) $ 13.37 2.22%
leo-token
LEO Token (LEO) $ 9.17 0.95%
avalanche-2
Avalanche (AVAX) $ 17.98 2.26%
stellar
Stellar (XLM) $ 0.238315 0.30%
usds
USDS (USDS) $ 1.00 0.01%
the-open-network
Toncoin (TON) $ 2.88 1.45%
shiba-inu
Shiba Inu (SHIB) $ 0.000012 1.99%
whitebit
WhiteBIT Coin (WBT) $ 47.33 0.32%
weth
WETH (WETH) $ 2,448.81 0.97%
litecoin
Litecoin (LTC) $ 86.85 1.42%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,621.53 1.01%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.07%
hedera-hashgraph
Hedera (HBAR) $ 0.148196 1.37%
monero
Monero (XMR) $ 311.82 1.47%
bitget-token
Bitget Token (BGB) $ 4.64 0.10%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.02%
polkadot
Polkadot (DOT) $ 3.42 2.32%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 108,133.97 0.97%
uniswap
Uniswap (UNI) $ 7.17 2.35%
aave
Aave (AAVE) $ 271.72 7.04%
pi-network
Pi Network (PI) $ 0.533865 1.11%
pepe
Pepe (PEPE) $ 0.00001 3.49%
dai
Dai (DAI) $ 0.999924 0.01%
ethena-staked-usde
Ethena Staked USDe (SUSDE) $ 1.18 0.05%
aptos
Aptos (APT) $ 4.82 1.41%
bittensor
Bittensor (TAO) $ 342.80 5.43%
okb
OKB (OKB) $ 50.08 0.01%
blackrock-usd-institutional-digital-liquidity-fund
BlackRock USD Institutional Digital Liquidity Fund (BUIDL) $ 1.00 0.00%
jito-staked-sol
Jito Staked SOL (JITOSOL) $ 184.08 3.87%
near
NEAR Protocol (NEAR) $ 2.14 2.08%
internet-computer
Internet Computer (ICP) $ 4.87 3.44%
crypto-com-chain
Cronos (CRO) $ 0.081185 0.26%
ethereum-classic
Ethereum Classic (ETC) $ 16.47 2.27%
susds
sUSDS (SUSDS) $ 1.06 0.02%
ondo-finance
Ondo (ONDO) $ 0.769263 2.95%
usd1-wlfi
USD1 (USD1) $ 1.00 0.09%
tokenize-xchange
Tokenize Xchange (TKX) $ 27.44 0.13%
mantle
Mantle (MNT) $ 0.611517 2.75%
kaspa
Kaspa (KAS) $ 0.077388 1.70%
gatechain-token
Gate (GT) $ 15.60 0.38%
fasttoken
Fasttoken (FTN) $ 4.40 0.14%
cosmos
Cosmos Hub (ATOM) $ 4.01 1.30%
official-trump
Official Trump (TRUMP) $ 9.09 1.02%
vechain
VeChain (VET) $ 0.021078 3.20%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 0.685992 3.45%
sky
Sky (SKY) $ 0.082288 4.27%
lombard-staked-btc
Lombard Staked BTC (LBTC) $ 107,976.93 0.99%
render-token
Render (RENDER) $ 3.25 2.74%
sei-network
Sei (SEI) $ 0.301468 5.38%
ethena
Ethena (ENA) $ 0.266817 3.65%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.179494 2.48%
algorand
Algorand (ALGO) $ 0.179505 3.58%
filecoin
Filecoin (FIL) $ 2.26 2.81%
arbitrum
Arbitrum (ARB) $ 0.308287 1.83%
jupiter-perpetuals-liquidity-provider-token
Jupiter Perpetuals Liquidity Provider Token (JLP) $ 4.48 1.61%
worldcoin-wld
Worldcoin (WLD) $ 0.901498 3.36%
binance-peg-weth
Binance-Peg WETH (WETH) $ 2,450.02 1.09%
first-digital-usd
First Digital USD (FDUSD) $ 0.99837 0.05%
usdtb
USDtb (USDTB) $ 0.999977 0.01%
kucoin-shares
KuCoin (KCS) $ 11.14 0.48%
binance-staked-sol
Binance Staked SOL (BNSOL) $ 160.72 3.71%
jupiter-exchange-solana
Jupiter (JUP) $ 0.454435 8.63%
usdt0
USDT0 (USDT0) $ 1.00 0.05%
spx6900
SPX6900 (SPX) $ 1.30 6.42%
nexo
NEXO (NEXO) $ 1.21 1.57%
flare-networks
Flare (FLR) $ 0.01733 0.61%
fartcoin
Fartcoin (FARTCOIN) $ 1.17 12.55%
rocket-pool-eth
Rocket Pool ETH (RETH) $ 2,789.59 1.02%
bonk
Bonk (BONK) $ 0.000015 8.24%
kelp-dao-restaked-eth
Kelp DAO Restaked ETH (RSETH) $ 2,564.47 1.00%
injective-protocol
Injective (INJ) $ 10.84 3.33%
polygon-bridged-usdt-polygon
Polygon Bridged USDT (Polygon) (USDT) $ 1.00 0.01%
virtual-protocol
Virtuals Protocol (VIRTUAL) $ 1.57 8.22%
blockstack
Stacks (STX) $ 0.664725 2.09%
sonic-3
Sonic (S) $ 0.317196 4.82%
celestia
Celestia (TIA) $ 1.46 0.58%
binance-bridged-usdc-bnb-smart-chain
Binance Bridged USDC (BNB Smart Chain) (USDC) $ 1.00 0.05%
kaia
Kaia (KAIA) $ 0.167947 0.42%
optimism
Optimism (OP) $ 0.55752 3.77%
paypal-usd
PayPal USD (PYUSD) $ 0.999737 0.01%
xdce-crowd-sale
XDC Network (XDC) $ 0.059533 0.95%
mantle-staked-ether
Mantle Staked Ether (METH) $ 2,621.41 1.28%
solv-btc
Solv Protocol BTC (SOLVBTC) $ 108,075.96 1.00%
syrupusdc
SyrupUSDC (SYRUPUSDC) $ 1.11 0.01%
Scroll to Top