This Master’s thesis depicts how the dynamics of the Cold War affected the intelligence operations conducted by the U.S.A. in Western Germany in the period 1945-1960. The American doctrine of the time can be summarized in the words of Lord Hastings Lionel Ismay, who once said that the creation of NATO facilitated to “keep the Soviet Union out, the Americans in, and the Germans down.” It is dearly noticeable that the dogma of the double containment heavily influenced the way that the American secret services operated. Reading this Thesis is going to highlight the interconnectivity between foreign policies and the intelligence policies. The reader is going to take a deep dive into the “baby steps” of the American intelligence community, which lacked experience in relation to the rival country as well in relation to the newly founded federation. After carefully examining numerous declassified documents and historical papers it is safe to say that our initial observations stand correct. The United States’ secret services served a double role in Western Germany. The first one was the sociopolitical monitoring of Western Germany. More precisely, the U.S. was keeping an eye for a possible resurgence of Nazism. In order to ensure that this would be averted they monitored closely the economic growth of the country. Financial stability was considered fertile ground for the establishment of a democratic political environment. Democracy secured Germany’s political alignment to the Western allegiance and the elimination of any possibility of negotiating on its own with the Soviet Union for re-unifying with its eastern territories. The second role of American intelligence operations in Western Germany was espionage in Soviet territories. Western Germany offered many advantages when it came to spying the Soviets. The first one and the most obvious was the geographical proximity. Besides the fact that the newly founded federation shared borders with the Soviet Bloc, Western Berlin was inside the Soviet Union thus making it the “the Capital of Spies”. In addition to that the rich experience of Germans in espionage filled the lack of U.S. experience when it came down to spying. More precisely Reinhard Gehlen, who was the German intelligence officer in WW2 leading the espionage operations towards the U.S.S.R., made a very lucrative deal with the U.S.. He provided a huge amount of hard intelligence concerning the whereabouts of the U.S.S.R. in exchange for the security of his crew and himself. Gehlen soon after became the leader of the Gehlen Organization which operated in the beginning under American control and provided very useful intel. This thesis sheds light to the intelligence framework that was built over the years in Western Germany and highlights some of its most notorious operations. Apart from the intelligence aspect, this thesis illustrates the dynamics between the U.S. and the newly founded Federation. It is necessary for the reader to have a holistic approach when it comes down to examining a topic of this matter. Having understood the objectives of the U.S. foreign policy towards Germany, will make it easier to spot the correlation between the objectives of the Foreign Policy and the aims of the Intelligence. The intricate relationship between the U.S. and Germany was not only limited to their Foreign Policy dynamics but it also expanded to the relationship of their Intelligence agencies.