Kraken Makes History as First Major Crypto Exchange to Secure Full MiCA License in Europe
Kraken, one of the leading global crypto exchanges, has achieved a significant milestone by becoming the first major exchange to secure a full Markets in Crypto-Assets (MiCA) license through the Central Bank of Ireland. This groundbreaking achievement allows Kraken to offer regulated digital asset services across all 30 European Economic Area (EEA) countries.
The MiCA license, granted on June 26, places Kraken ahead of the European Union’s year-end MiCA compliance deadline for crypto asset service providers. This license authorizes Kraken to conduct all seven regulated crypto activities under MiCA, including custody, trading, portfolio management, and payments. It consolidates Kraken’s existing virtual asset service provider (VASP) registrations in France, Italy, Spain, and the Netherlands under a single regulatory framework.
With this approval, Kraken solidifies its legal standing to continue operating across the EU in compliance with MiCA’s regulations on crypto exchanges. MiCA, which was enacted in June 2023, represents the EU’s first comprehensive regulatory framework for digital assets. It harmonizes rules across all 30 EEA countries, replacing 27 national systems. While certain provisions of MiCA came into effect in 2024, core exchange and custodial rules became binding at the end of last year.
Kraken’s MiCA license comes shortly after Coinbase secured its own license through Luxembourg’s Commission de Surveillance du Secteur Financier. This coordinated effort by major U.S. exchanges to obtain regulatory clarity in Europe reflects the strategic advantages of securing passporting rights, streamlined onboarding processes, and market access ahead of competitors.
Kraken’s European operations already contribute significantly to its global spot volume, with over 35% of euro-denominated crypto liquidity flowing through the platform. This data likely informed Kraken’s decision to pursue regulatory approval under MiCA.
In a proactive move to align with MiCA’s stablecoin rules, Kraken delisted non-compliant stablecoins in 2024. By February 2025, the exchange had completed the delisting process and converted remaining non-compliant stablecoins in March.
Additionally, Kraken acquired a Cyprus-based entity to obtain a Markets in Financial Instruments Directive (MiFID) license, allowing the exchange to offer regulated crypto derivatives in the EU. This strategic move positions Kraken among a select group of exchanges offering both spot and derivatives products under compliant frameworks.
While Kraken’s MiCA license grants passporting rights, the activation of these rights depends on the Central Bank of Ireland uploading the authorization to the European Securities and Markets Authority’s (ESMA) register. National regulators may also impose additional anti-money laundering checks, potentially introducing local onboarding challenges.
As MiCA’s sunsetting period approaches, regulatory clarity around crypto activities is becoming increasingly important. ESMA has urged crypto firms to comply with regulations and prepare for evolving technical standards in 2025. For exchanges like Kraken and Coinbase, securing a MiCA license early can mitigate disruptions, facilitate institutional onboarding, and establish a stable legal foundation for future growth.
Kraken’s co-CEO, Arjun Sethi, emphasized the significance of the license, stating that it reaffirms Kraken’s commitment to long-term growth and positions the exchange to expand its product offerings.
Overall, Kraken’s achievement in securing a full MiCA license marks a significant milestone in the crypto industry and underscores the exchange’s commitment to regulatory compliance and sustainable growth.