Kraken Secures EU MiFID License, Expands Derivatives Trading

Cryptocurrency exchange Kraken has secured a significant regulatory milestone, obtaining a Markets in Financial Instruments Directive (MiFID) license for the European Union. The exchange achieved this by acquiring a Cypriot investment firm, which was approved by the Cyprus Securities and Exchange Commission (CySEC) on February 3, 2025. This strategic move enables Kraken to offer regulated derivatives trading services across EU markets, further strengthening its presence in Europe while maintaining compliance with local regulations.

Shannon Kurtas, Kraken’s co-general manager of Pro & Exchange, emphasized the company’s commitment to the European market. “As we continue to expand globally, our focus on the European market remains a top priority,” Kurtas stated in the announcement. The exchange plans to introduce a range of derivatives products specifically designed for sophisticated crypto investors, including regulated futures and options products, to maximize capital efficiency.

Before launching its derivatives products in EU markets, Kraken must complete several regulatory requirements. The exchange has not yet announced a specific timeline for the rollout of these services, indicating a measured approach to meeting all necessary compliance standards. This expansion builds upon Kraken’s previous regulatory achievements, such as acquiring Crypto Facilities in 2019, which made Kraken the first licensed crypto futures provider in the United Kingdom.

Kraken has also made progress in other areas of its business. Recently, the exchange relaunched its on-chain staking services for US clients in 37 states and two territories, offering more options for participating in bonded staking activities. This development shows Kraken’s ability to adapt its services to meet regulatory requirements while maintaining product offerings.

The acquisition of the MiFID license represents a strategic move to capture opportunities in Europe’s expanding derivatives market. This allows Kraken to provide sophisticated trading tools while operating within the established regulatory framework. Kraken’s approach to regulatory compliance has been systematic, working to secure necessary approvals across different jurisdictions to ensure its services meet local regulatory standards while providing users with access to advanced trading options.

The exchange continues to focus on maintaining high standards for security and customer experience, aligning with Kraken’s goal of setting industry benchmarks while expanding its service offerings. The Cyprus-based acquisition provides Kraken with a strategic entry point into the European derivatives market, enabling the exchange to passport its services across other EU member states and potentially reach a broader base of European traders and investors.

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