Bitstamp, a major cryptocurrency exchange, has received a Markets in Financial Instruments Directive (MiFID) Multilateral Trading Facility (MTF) licence from Slovenia’s Securities Market Agency, marking a significant step in Europe’s evolving crypto regulations. The license allows Bitstamp to provide crypto derivatives products to both retail and institutional investors across the European Union, including perpetual swaps.

Paving the Way for Crypto Derivatives

MiFID MTF license? Checked! ✅

We’re among the first crypto exchanges awarded this license, marking the start of a new era.

We can now start taking steps toward offering sophisticated products like crypto derivatives, including perpetual swaps.

More: https://t.co/t7LG2NcZcN pic.twitter.com/p9gK5Ik4QF

— Bitstamp (@Bitstamp) October 25, 2024

The MiFID MTF licence is an important regulatory endorsement, allowing Bitstamp to create a trading environment where multiple parties can trade crypto derivatives within a compliant and secure setting. Slovenia’s approval of the MTF licence is notable as it positions Bitstamp among the first crypto exchanges authorised to offer EU-regulated derivatives, highlighting both Bitstamp’s compliance standards and the European Union’s maturing approach towards crypto markets.

Strengthened Security and Compliance

In a statement, Bitstamp’s Global CEO Jean-Baptiste Graftieaux highlighted the significance of the license as an endorsement of Bitstamp’s robust security and compliance measures. He remarked, “We’re immensely proud to be one of the first cryptocurrency exchanges to be granted the MiFID MTF licence… It is also emblematic of the industry’s increasing maturity as a whole.” The license further solidifies Bitstamp’s position in the crypto ecosystem, underscoring its anti-money laundering controls and investor protection capabilities.

This licence opens up new avenues for institutional investors seeking to incorporate crypto derivatives into their strategies, allowing them to benefit from increased capital efficiency. Bitstamp’s spot exchange is integrated within this new derivative offering, enabling a seamless trading experience that avoids the need for direct crypto holdings. The regulated nature of Bitstamp’s platform will provide both individual and institutional investors with a secure environment to explore diverse trading and investment strategies.

A Progressive Step for EU Crypto Regulation

The MiFID framework is a well-established set of guidelines governing the eurozone’s investment services, previously focused on traditional assets like stocks and bonds. Extending this framework to include crypto derivatives underscores the European Union’s commitment to adapting its financial regulations to cover emerging digital asset classes, with Slovenia leading the charge.

With this milestone license, Bitstamp is set to expand its influence across the European crypto market, catering to a growing demand for regulated, sophisticated crypto investment options.