Kraken has announced that it has been granted an Electronic Money Institution (EMI) license by the Central Bank of Ireland and a virtual asset service provider (VASP) registration by the Bank of Spain.
The official announcement on September 26 revealed that this milestone enables the exchange to broaden its euro-to-crypto trading services to an extensive market comprising 27 European Union member states and European Economic Area countries. Simultaneously, the VASP registration in Spain now empowers the exchange to offer exchange and wallet custodial services to Spanish residents. Notably, Kraken had already secured VASP registrations in both Italy and Ireland.
Curtis Ting, Vice President of Global Operations at Kraken, expressed his optimism, stating, “We see a firm foundation for crypto in Europe, which has forward-looking regulation that enables us to grow with confidence.” This expansion comes at a time when Kraken already supports an impressive array of over 200 trading pairs across six fiat currencies, including the British pound, euro, U.S. dollar, Canadian dollar, Swiss franc, and Australian dollar.
Kraken’s Legal Challenges and Strategic Expansion Moves
Recently, Kraken faced legal action from the Australian Securities and Investments Commission (ASIC) over allegations related to its Australian subsidiary, Bit Trade. ASIC claimed that Bit Trade had failed to make market determinations before offering margin trading services. Jonathon Miller, Managing Director of Kraken’s Australian operations, expressed surprise over ASIC’s actions, as he believed Bit Trade was adhering to local regulations.
Earlier this year, Kraken made another strategic move by applying for restricted dealer registration in Canada. This move was in response to new regulations mandating that all VASPs register with securities administrators or risk expulsion. Notably, other major exchanges, including Binance and OKX, exited the Canadian market in response to these stringent rules.
The exchange’s latest regulatory achievements in Ireland and Spain demonstrate the exchange’s commitment to compliance and its determination to continue expanding its services across Europe, setting the stage for further growth in the cryptocurrency industry. The European market now stands as a significant battleground for crypto exchanges seeking to establish a strong foothold in the region.