National Supervisory Authority & Licensing Qualification Dossier • European Economic Area & Switzerland
BaFin
GermanyBundesanstalt für Finanzdienstleistungsaufsicht
Source / Native Reference: 德国联邦金融管理局
- Supervisory tier
- Tier-1
- License classes
- 3
- Licensed records
- 23
- Active / regulated
- 19
Statutory Supervisory Mandate & Scope
Swiss Financial Market Supervisory Authority (FINMA) (FINMA) is the Tier-1 statutory financial markets and securities supervisory authority in Switzerland. It grants and supervises financial services licences across broker-dealers, investment advisers, asset managers, and market operators, enforcing initial and ongoing prudential capital requirements, segregated client asset rules, market conduct standards, and public register disclosures.
Supervises credit institutions (jointly with Deutsche Bundesbank and ECB), investment firms (Wertpapierinstitute), asset managers (KVGs), payment institutions, and Crypto-Asset Service Providers (CASPs) in Germany.
Prudential Tier Assessment
Tier-1Integrated G7 & Eurozone federal financial supervisor overseeing banking, securities, insurance, and statutory crypto custody under KWG, WpIG, WpHG, and EU MiCA.
National licensing qualifications & statutory authorisation classes (BaFin)
Authorisation categories, permitted institutional and retail activities, minimum initial capital adequacy, and ongoing prudential solvency rules enforced by BaFin in Germany.
| License class / code | Official designation | Permitted institutional & retail activities | Minimum initial / base capital | Ongoing prudential & solvency rule |
|---|---|---|---|---|
| WpIG Class 1 / 2 (§ 15 WpIG — Eigenhandel) | Securities Institution — Proprietary Dealing & Market Making | Principal dealing, market making, underwriting, and operating a Multilateral or Organised Trading Facility (MTF/OTF). | EUR €750,000 initial capital (or EUR €5,000,000 for systemic Class 1 CRR-equivalent investment firms). | IFR K-Factor capital adequacy, MaRisk risk management framework, and Bundesbank monthly solvency reporting. |
| WpIG Medium / Small (§ 15 WpIG — Finanzkommission / Anlageverwaltung) | Securities Institution — Brokerage & Portfolio Management | Principal brokerage, investment broking, contract broking, and discretionary portfolio management. | EUR €150,000 initial capital (if holding client money/securities) or EUR €75,000 (non-custodial advisory/transmission). | Fixed Overheads Requirement (25% of prior year fixed overheads) + annual WpHG compliance audit. |
| MiCA CASP (Art. 59–63 Reg (EU) 2023/1114) | Crypto-Asset Service Provider (Custody, Trading Platform & Exchange) | Custody and administration of crypto-assets, operation of a crypto trading platform, crypto-to-fiat exchange, and order execution across all 27 EU Member States. | EUR €150,000 (Class 3 Trading Platform), EUR €125,000 (Class 2 Custody & Exchange), or EUR €50,000 (Class 1 Advisory/Order Reception). | Higher of permanent minimum capital or 25% of preceding year fixed overheads + DORA ICT resilience & bankruptcy-remote wallet segregation. |
Investor compensation, client money segregation & digital-asset regime
Statutory counterparty protections, custody reconciliation mandates, and virtual-asset licensing status under BaFin.
Entschädigungseinrichtung der Wertpapierhandelsunternehmen (EdW) / Entschädigungseinrichtung deutscher Banken (EdB)
- Maximum coverage per client
- EUR €20,000 (90% of liabilities) for securities claims via EdW; EUR €100,000 per depositor for credit institutions via EdB
- Eligible counterparties & scope
- Retail and small corporate clients (institutional credit institutions, insurers, and public bodies excluded).
§ 84 WpHG & MaComp BT 10 (Segregation of Client Financial Instruments and Funds)
- Reconciliation & audit cadence
- Daily reconciliation of segregated escrow accounts (Treuhandkonten); strict prohibition on using retail client funds for own-account margin.
- Approved custodian requirements
- Client funds must be deposited immediately with a central bank or CRR credit institution in segregated trust accounts; mandatory Negative Balance Protection and prohibition of additional payment obligations (Nachschusspflicht) for retail CFDs.
EU MiCA CASP Authorisation & German KWG Crypto Custody (Kryptoverwahrgeschäft) / eWpG Electronic Securities
- Travel Rule, custody & stablecoin rules
- EU Transfer of Funds Regulation (TFR — Regulation (EU) 2023/1113) applies a EUR €0 threshold Travel Rule to all CASP transfers; strict IT security audits under DORA.
Primary Governing Statutes & Rulebooks
- German Banking Act (Kreditwesengesetz — KWG) & Investment Firm Act (Wertpapierinstitutsgesetz — WpIG)
- German Securities Trading Act (Wertpapierhandelsgesetz — WpHG) & Capital Investment Code (KAGB)
- EU Regulation (EU) 2019/2033 (IFR) / Directive (EU) 2019/2034 (IFD) & MiFID II
- EU Markets in Crypto-Assets Regulation (MiCA — Regulation (EU) 2023/1114) & German FinmStFG / KMAG
Regulatory Reporting & Audit Obligations
Annual WpHG / KWG statutory audit conducted by an independent Wirtschaftsprüfer and filed with BaFin and Deutsche BundesbankMiFIR Art. 26 T+1 transaction reporting, EMIR Refit derivatives reporting, and DORA ICT incident reportingGwG (German Anti-Money Laundering Act) Money Laundering Officer (Geldwäschebeauftragter) appointment and FIU goAML filings
Cross-Border Equivalence & Passporting
Full EEA Freedom of Services (Art. 34 MiFID II / Art. 65 MiCA) and Freedom of Establishment passporting across all 27 EU Member States plus Norway, Iceland, and Liechtenstein.
Supervised institutions & BaFin licence records in our database
23 licence records referencing BaFin (19 regulated/registered, 4 flagged with warnings/revocations).
| Institution | Licence number | Status | Licensed legal entity | Effective date | Verification |
|---|---|---|---|---|---|
| Deutsche Bank AG | 10100003 | Regulated | DEUTSCHE BANK AKTIENGESELLSCHAFT | — | |
| LeasePlanbank | 10142286 | Regulated | Ayvens Bank N.V. | 2015 | |
| Commerzbank | 10100005 | Regulated | COMMERZBANK Aktiengesellschaft | — | |
| DZ Bank | 10101261 | Regulated | DZ BANK AG Deutsche Zentral-Genossenschaftsbank, Frankfurt am Main | — | |
| Berenberg Bank | Number pending check | Regulated | Joh. Berenberg, Gossler & Co. KG | — | |
| Helaba | Number pending check | Regulated | Landesbank Hessen-Thüringen Girozentrale | — | |
| ING | Number pending check | Regulated | Joh. Berenberg, Gossler & Co. KG | — | |
| LBBW | Number pending check | Regulated | Landesbank Baden-Württemberg | — | |
| Coinbase(Global network record) | 10158674 | Regulated | Coinbase Germany GmbH | — | |
| Mizuho Securities(Global network record) | 10115675 | Regulated | Mizuho Bank Europe N.V. | — | |
| Admiral Markets(Global network record) | 122679 | Exceeded scope | Admiral Markets AS | 2009-07-29 | |
| Bitpanda(Global network record) | HRB 258842 B | Regulated | Bitpanda Asset Management GmbH | 2024 | |
| CMCMarkets(Global network record) | 154814 | Revoked | CMC Markets Germany GmbH | 2019-08-07 | |
| FxPro(Global network record) | 121095 | Registered | XPRO Financial Services Ltd | — | |
| Pepperstone(Global network record) | 151148 | Exceeded scope | Pepperstone GmbH | — | |
| BitGo(Global network record) | 50085544 / 157322 | Regulated | BitGo Europe GmbH | — | |
| Bitpanda(Global network record) | Number pending check | Regulated | Bitpanda | — | |
| Windsor Brokers(Global network record) | 120311 | Registered | Windsor Brokers Ltd. | — | |
| Scalable(Global network record) | Number pending check | Regulated | Scalable Capital GmbH | 2015 | |
| futurum(Global network record) | 10118938 | Regulated | futurum bank AG | — | |
| FXFlat(Global network record) | 109603 | Exceeded scope | FXFlat Bank GmbH | -- | |
| KFW(Global network record) | Number pending check | Regulated | KfW Capital GmbH & Co. KG | — | |
| Munich Re Bank(Global network record) | 10156805 | Regulated | Munich Re Investment Partners GmbH | — |
BaFin (Germany): institutional licensing & due diligence FAQ
Key statutory capital, compensation, custody segregation, and verification answers for compliance teams.
What are the primary licensing classes and minimum capital requirements under BaFin (Germany)?
BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht) supervises financial institutions in Germany under German Banking Act (Kreditwesengesetz — KWG) & Investment Firm Act (Wertpapierinstitutsgesetz — WpIG) and German Securities Trading Act (Wertpapierhandelsgesetz — WpHG) & Capital Investment Code (KAGB). Key statutory authorisation classes include: WpIG Class 1 / 2 (§ 15 WpIG — Eigenhandel) (Securities Institution — Proprietary Dealing & Market Making — min. capital: EUR €750,000 initial capital (or EUR €5,000,000 for systemic Class 1 CRR-equivalent investment firms).); WpIG Medium / Small (§ 15 WpIG — Finanzkommission / Anlageverwaltung) (Securities Institution — Brokerage & Portfolio Management — min. capital: EUR €150,000 initial capital (if holding client money/securities) or EUR €75,000 (non-custodial advisory/transmission).); MiCA CASP (Art. 59–63 Reg (EU) 2023/1114) (Crypto-Asset Service Provider (Custody, Trading Platform & Exchange) — min. capital: EUR €150,000 (Class 3 Trading Platform), EUR €125,000 (Class 2 Custody & Exchange), or EUR €50,000 (Class 1 Advisory/Order Reception).). Ongoing prudential supervision requires strict adherence to capital adequacy and liquidity buffers.
Does BaFin provide statutory investor compensation and mandatory client asset segregation?
Under BaFin's framework, investor protection is governed by Entschädigungseinrichtung der Wertpapierhandelsunternehmen (EdW) / Entschädigungseinrichtung deutscher Banken (EdB) with maximum coverage of EUR €20,000 (90% of liabilities) for securities claims via EdW; EUR €100,000 per depositor for credit institutions via EdB (Retail and small corporate clients (institutional credit institutions, insurers, and public bodies excluded).). For client money and custody assets, supervised firms must comply with § 84 WpHG & MaComp BT 10 (Segregation of Client Financial Instruments and Funds), performing daily reconciliation of segregated escrow accounts (treuhandkonten); strict prohibition on using retail client funds for own-account margin. with client funds must be deposited immediately with a central bank or crr credit institution in segregated trust accounts; mandatory negative balance protection and prohibition of additional payment obligations (nachschusspflicht) for retail cfds..
How does BaFin regulate digital assets, crypto exchanges (VASPs/CASPs), and stablecoins?
BaFin's digital-asset regime is structured around EU MiCA CASP Authorisation & German KWG Crypto Custody (Kryptoverwahrgeschäft) / eWpG Electronic Securities (Fully operational EU MiCA CASP licensing regime (effective Dec 2024) + Electronic Securities Act (eWpG) for tokenized bonds and fund shares.). Custody and AML/CFT compliance obligations require: EU Transfer of Funds Regulation (TFR — Regulation (EU) 2023/1113) applies a EUR €0 threshold Travel Rule to all CASP transfers; strict IT security audits under DORA.
How can I verify an institution's BaFin licence number and check our 23 recorded licence entries?
Our database currently tracks 23 licence records referencing BaFin (19 marked regulated or registered). To verify a counterparty at the primary source, open BaFin's official public register (https://www.bafin.de/), search by the exact reference number and legal entity name, and confirm that the firm's domain and permitted activities match its statutory authorisation.
Related regulatory & market structure briefings
Research and compliance analysis from FinLexicon Wiki relevant to BaFin and Germany.
Statutory Law & Custody Architecture
Statutory Client Asset Segregation & Insolvency Waterfalls: Comparative Legal Architecture of FCA CASS 7, SEC Rule 15c3-3, SIPA, and EU MiFID II Custody Regimes (2026)
A definitive statutory and insolvency-law reference comparing UK FCA CASS 7 statutory trusts, US SEC Rule 15c3-3 customer reserve formulas and SIPA liquidations, EU MiFID II Article 16(8)-(10) title-transfer prohibitions, and Japanese FIEA Article 43-2 trust bank mandates.
Derivatives Margin & Prudential Regulation
ISDA 2026 SIMM Risk Weights, Uncleared Margin Rules (UMR) Thresholds & VM/IM Collateral Eligibility
ISDA Standard Initial Margin Model (SIMM) refers to a parametric, sensitivity-based methodology calibrated across a 10-day margin period of risk (MPOR) at a 99% confidence interval to calculate regulatory initial margin for non-centrally cleared over-the-counter (OTC) derivatives under BCBS-IOSCO Uncleared Margin Rules (UMR).
Prudential Regulation & Capital Standards
Expanded Risk-Based Approach (ERBA) Basel III Endgame Standard: Statutory Definition, Regulatory Scope & Compliance Deadlines (-4.8% Cat I/II CET1 Change Benchmark)
Expanded Risk-Based Approach (ERBA) Basel III Endgame Standard (BASEL-ERBA-2026) stands at -4.8% (Cat I/II CET1 Change) (Source: Federal Reserve / OCC / FDIC, 2026-10-20), governing exact rule citations, covered entities
Market Microstructure & Derivatives Taxonomy
Expanded Risk-Based Approach (ERBA) Basel III Endgame Standard: Balance-Sheet Netting Mechanics & RWA Capital Weight Calculation (-4.8% Cat I/II CET1 Change Benchmark)
Expanded Risk-Based Approach (ERBA) Basel III Endgame Standard (BASEL-ERBA-2026) stands at -4.8% (Cat I/II CET1 Change) (Source: Federal Reserve / OCC / FDIC, 2026-10-20), governing multilateral netting compression and T
Statutory licensing classes, base capital rules, and investor protection summaries for BaFin (Germany) are maintained for institutional benchmarking and do not constitute legal advice. Always verify current rulebooks and active firm authorisations directly on BaFin’s official public register.