Kraken Secures EU MiFID License, Expands Regulated Derivatives Offerings

Cryptocurrency exchange Kraken has secured a Markets in Financial Instruments Directive (MiFID) license in the EU, enabling it to expand its regulated derivatives offerings across key EU markets. The license was obtained through the acquisition of a Cypriot investment firm, which was recently approved by the Cyprus Securities and Exchange Commission (CySEC).

This strategic move positions Kraken to offer a fully compliant derivatives trading platform tailored to sophisticated crypto investors. The MiFID license allows Kraken to provide advanced traders with regulated futures and options products, enabling them to gain exposure to a variety of digital assets in a capital-efficient manner.

Kraken's co-general manager of Pro & Exchange, Shannon Kurtas, stated, "As we continue to expand globally, our focus on the European market remains a top priority." Kraken intends to fulfill the necessary regulatory conditions in the coming months before launching its derivatives products in EU markets, although a specific timeline has not been provided.

In addition to its European expansion, Kraken has relaunched its on-chain staking services for US clients in 37 states and two territories, nearly two years after suspending the program due to regulatory challenges. The new staking product allows users to participate in bonded staking for 17 digital assets.

Kraken has been steadily building its regulatory presence to expand its derivatives trading capabilities. In 2019, the exchange acquired Crypto Facilities, a Financial Conduct Authority (FCA)-regulated crypto futures platform in the UK, which became the first licensed crypto futures provider in the country. With the EU MiFID license, Kraken extends its commitment to regulatory compliance while broadening access to advanced trading tools for European investors.

The company has not yet disclosed the full scope of the derivatives products it plans to offer under the MiFID license, but industry analysts expect futures, options, and structured products to be key components of the exchange's European derivatives portfolio.