Kraken Expands Derivatives Offerings in EU with MiFID License
Leading crypto exchange Kraken has recently secured a Markets in Financial Instruments Directive (MiFID) license in the EU, allowing the platform to enhance its regulated derivatives offerings across key European markets. This strategic move comes after the acquisition of a Cypriot investment firm, which received approval from the Cyprus Securities and Exchange Commission (CySEC).
Strengthening EU Presence
The acquisition of the MiFID license marks a significant milestone for Kraken as it aims to capitalize on the growing derivatives market in Europe while adhering to regulatory standards. This license empowers Kraken to cater to advanced traders by providing regulated futures and options products, enabling them to access a wide range of digital assets in a compliant manner.
Shannon Kurtas, Kraken’s co-general manager of Pro & Exchange, emphasized the company’s commitment to the European market, stating, “Our focus on the European market remains a top priority as we continue to expand globally.”
Kraken is currently working on meeting all regulatory requirements before launching its derivatives products in European markets, although a specific timeline for the rollout has not been disclosed yet.
Regulatory Progress
In addition to its European expansion, Kraken has reintroduced its on-chain staking services for US clients in 37 states and two territories. This move comes nearly two years after suspending the program due to regulatory challenges. The revamped staking service now allows users to engage in bonded staking for 17 different digital assets.
By acquiring Crypto Facilities, a Financial Conduct Authority (FCA)-regulated crypto futures platform in the UK in 2019, Kraken has been steadily strengthening its regulatory presence to enhance its derivatives trading capabilities. This acquisition positioned Kraken as the first licensed crypto futures provider in the UK.
With the MiFID license in the EU, Kraken underscores its dedication to regulatory compliance while expanding access to advanced trading tools for European investors. The company remains steadfast in its commitment to setting industry standards for security, innovation, and customer experience.
While the full scope of the derivatives products to be offered under the MiFID license has not been disclosed, industry experts anticipate futures, options, and structured products to be key components of Kraken’s European derivatives portfolio.