Coinbase and Gemini are close to obtaining licenses to operate in Europe under the Mica Law: Report

Both exchanges are making proper efforts to achieve licenses Casp, Compatible with the law Mica that entered into force at the end of last year.

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• The two exchanges prepare to receive licenses Casp.
• Malta and Luxembourg are consolidated as crypto regulation centers.
• Regulatory competence between European countries generates concerns.

The Cryptocurrency Exchange with headquarters in the US. Coinbase and Gemini They are in the final phase of the process to receive license as suppliers of cryptoactive services (Casp) under the new regulatory regime of the European Union, better known as the law Mica.

As reported Reuters and Other media, both companies are preparing to obtain licenses that will allow them to operate in the 27 countries of the European bloc. In the case of Coinbase, This hopes to receive your license through Luxembourg, where it also plans to establish a regional office. On the side of Gemini, The company submitted its application in Malta at the beginning of the year.

According to the reports, the strategies of both companies seek to take advantage of the benefits present in these jurisdictions. On the side of Coinbase, This would use the system of “passport” which offers Mica, allowing him to offer his services throughout the EU with a single national approval. As to Gemini, The choice of Malta seeks to take advantage of the speed with which licenses to other exchanges have been awarded, as well as the friendly character that the nation has towards crypto companies.

The considerations of the law Mica

The law Mica (Markets in Crypto-Assets) It is a unified legal framework approved by the European Union with the objective of standardizing the regulation of cryptoactives in member countries. It entered into force at the end of last year and has been received as a significant advance to reduce the legal discrepancies present at the regional level.

One of the main benefits it gives Mica to registered companies is The ability to operate throughout the region without having to obtain multiple licenses. This system of “Regulatory passport” simplifies the expansion of companies such as Coinbase and Gemini, allowing them to quickly climb their operations in the European market.

However, some experts cited by Reuters warn that the licenses process Casp It still allows some regulatory arbitrariness. Although Mica establishes a common standard, each member country can have differences in its approval criteria, which could generate a “Race to the bottom” between jurisdictions that seek to attract companies through more flexible processes.

European expansion

Gemini has been strengthening his presence in Europe since 2023. In November last year, he received an update of his license as a virtual asset service provider (Vasp) In France, complying with the rules of the International Financial Action Group (GAFI).

Although licenses Casp and Vasp They differ, both are key to operating in regulated markets: The first applies exclusively to the EU under the law Mica, And the second follows a global standard focused on money laundering prevention.

In line with its expansion strategy, Gemini He recently hired three senior executives to lead their operations in the European continent. The company considers that the European Union is a fundamental axis of its global strategy and would be contemplating a possible outpost in the near future.

Meanwhile, competition with Coinbase It intensifies, not only in commercial terms, but also in how each firm navigates the intricate regulatory landscape of Europe. In an environment where transparency and regulatory compliance have become essential, the success of these companies will depend on their ability to adapt and collaborate with regulators that are still adjusting the gears of the new system Mica.

Article written by a content editor. Edited by Angel Di Matteo / Diariobitcoin

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain

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