US-based international crypto player Kraken arrives in Cyprus via acquisition

US-based cryptocurrency exchange Kraken has obtained a Markets in Financial Instruments Directive (MiFID) license in the EU, through the CySEC-approved acquisition of a Cypriot Investment Firm.

The Cyprus Securities and Exchange Commission (CySEC) recently approved the acquisition, a press release by Kraken noted, adding, "This milestone marks a significant step in our expansion strategy, allowing us to offer fully compliant and regulated derivatives products to advanced crypto traders across selected EU markets."

According to the company, the newly secured license reinforces its commitment to meeting the growing demand for secure and regulated crypto derivatives trading in the EU. "In the coming months, we will work on meeting the conditions to go live and launch the products in local EU markets," Kraken said in its announcement.

“As we continue to expand our services across the globe, our focus on the European market remains a top priority,” commented Shannon Kurtas, Kraken Co-GM of Pro & Exchange. “This acquisition reflects our confidence in the EU and underscores our commitment to providing a trusted, regulated environment for advanced crypto traders and investors.”

"This offering allows advanced traders to gain exposure to a wide selection of assets in a capital-efficient and flexible manner, using a variety of collateral currencies to back their positions," the company's press release continued, adding, "As one of the most active regions for crypto derivatives trading, Europe represents one of our key growth markets. The ability to offer regulated and fully compliant derivatives products from an EU-regulated base aligns with our strategy of expanding our offerings to meet the evolving needs of sophisticated investors."

Kraken said it had been at the forefront of unlocking advanced, regulated trading opportunities for advanced and institutional investors. "In 2019, we acquired Crypto Facilities, a UK FCA-regulated crypto futures platform, which later became the first licensed crypto futures platform in the UK," the company's press release continued.

"We remain committed to setting industry standards for security, innovation, and compliance while delivering best-in-class trading experiences for our growing EU client base," it concluded.