Latest news with #MarketsinFinancialInstrumentsDirective
Yahoo
21-05-2025
- Business
- Yahoo
Kraken Rolls Out Regulated Crypto Derivatives in Europe
Kraken is rolling out regulated crypto derivatives trading in Europe, compliant with the European Union's Markets in Financial Instruments Directive (MiFID II). The crypto exchange's perpetual and fixed maturity futures contracts will now be available for retail and institutional customers in the European Economic Area (EEA), the firm said on Tuesday. Permission to trade crypto derivatives came via a Cypriot investment firm called Greenfield Wealth, which Kraken acquired earlier this year, securing the exchange a license from the Cyprus Securities and Exchange Commission (CySEC). The crypto derivatives space has seen some significant moves lately, with big players like U.S.-listed Coinbase (COIN) acquiring leading trading platform Deribit. In Europe, exchanges such as Bitstamp and Gemini are entering the fold, while the MiFID II license held by FTX EU has been acquired by BackPack. Kraken also made a $1.5 billion acquisition of NinjaTrader to drive derivatives trading in the U.S. As well as its European license, Kraken acquired Crypto Facilities, a U.K. FCA-regulated crypto futures platform, in 2019. Kraken's joined-up approach means the contracts European clients will have access to already command a relatively high volume, roughly between $1 billion and $2 billion per day, according to Shannon Kurtas, head of exchange at Kraken. 'This is not offering access to a new trading venue or new contracts,' Kurtas said in an interview. 'These are existing contracts that have material volume trading on them and along with that comes established liquidity, better execution costs and fiat rails for getting collateral in and out efficiently and cheaply.' The recent introduction of Kraken's Embed crypto connectivity application means neobanks and fintechs in Europe can also offer derivatives, as well as spot, to their clients, Kurtas said. Picking up licenses in smaller and arguably more nimble jurisdictions like Cyprus and Malta has become a well-trodden path for Crypto firms with deep pockets. 'More nimble is probably a fair characterization,' Kurtas said. 'Also, there's been an established set of firms, particularly in the CFD space, who traditionally have offered retail access to FX derivatives and CFDs, and so there's kind of a nexus of individuals, firms and know-how, if you will, in the area for these products.' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
21-05-2025
- Business
- Yahoo
Kraken expands to Europe with derivatives offering
The U.S.-based crypto exchange Kraken announced on May 20 that it has launched regulated crypto derivatives in Europe. Kraken's retail and institutional clients in the European Economic Area (EEA) can trade crypto derivatives, including perpetual and fixed maturity contracts. The exchange is offering the latest derivative products through Greenfield Wealth, a Cyprus-based investment firm that Kraken acquired on Feb. 3 to secure the Markets in Financial Instruments Directive (MiFID II) license in the European Union. Kraken underlined the launch of MiFID-regulated futures within a recognized regulatory framework that will further strengthen the firm's position. 'Europe is one of the fastest-growing regions for digital asset trading and investment, with some of the most sophisticated and demanding clients and institutions,' Kraken's head of exchange, Shannon Kurtas, said. 'The launch of Kraken's regulated derivatives in Europe, the largest offering of its kind, is well-timed to meet this growing demand and underscores our commitment to providing trusted, compliant access to the best markets and trading opportunities,' Kurtas added. The crypto exchange has been expanding its global presence for a long time now. On March 20, Kraken entered into a $1.5 billion deal to acquire the U.S.-based futures trading exchange NinjaTrader. The exchange had also been competing with Coinbase (Nasdaq: COIN), the largest crypto exchange in the U.S., to acquire Deribit, a Dubai-based crypto derivatives exchange. However, Coinbase won the deal. Founded in 2011, Kraken is a U.S.-based crypto exchange that claims to offer its services to 15 million users globally. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Arabian Post
20-05-2025
- Business
- Arabian Post
Kraken Gains EU Access Through Cyprus Derivatives Licence
Cryptocurrency exchange Kraken has secured a Markets in Financial Instruments Directive licence in the European Union by acquiring Cypriot investment firm Greenfields Wealth, formerly known as Pacific Union Group. The acquisition, approved by the Cyprus Securities and Exchange Commission , enables Kraken to offer regulated crypto derivatives to advanced traders across selected EU markets. This strategic move allows Kraken to operate under the EU's MiFID framework, facilitating the provision of over-the-counter derivatives, including contracts for differences , to retail clients within the European Economic Area. The licence also permits Kraken to passport its services across other EU member states, potentially reaching a broader base of European traders and investors. Shannon Kurtas, Kraken's Co-General Manager of Pro & Exchange, stated that the acquisition reflects the company's commitment to providing a trusted, regulated environment for advanced crypto traders and investors. She emphasized that the European market remains a top priority for Kraken as it continues to expand its services globally. Kraken plans to introduce a range of derivatives products, including regulated futures and options, designed to meet the needs of sophisticated crypto investors in Europe. These offerings will enable traders to gain exposure to various digital assets in a capital-efficient and flexible manner, using a variety of collateral currencies to back their positions. The acquisition of Greenfields Wealth provides Kraken with a strategic entry point into the European derivatives market. Cyprus has emerged as a hub for financial services firms seeking to operate across the EU, thanks to its regulatory framework and MiFID passport capabilities. The approval from CySEC enables Kraken to compete more effectively in the European crypto derivatives market. Kraken has a history of pursuing regulated derivatives trading opportunities. In 2019, the company acquired Crypto Facilities, a UK-based crypto futures platform regulated by the Financial Conduct Authority , enhancing its presence in the UK market. This acquisition made Kraken the first licensed crypto futures provider in the United Kingdom. The European crypto derivatives market is experiencing significant growth, with projections indicating a 15% growth rate until 2030. Kraken's entry into this market positions the company to capitalize on the increasing demand for secure and regulated crypto derivatives trading in the EU. Kraken's approach to regulatory compliance has been systematic, with the exchange working to secure necessary approvals across different jurisdictions. This strategy helps ensure that its services meet local regulatory standards while providing users with access to advanced trading options. The company's expansion into the European market aligns with the EU's Markets in Crypto-Assets regulation, which aims to address issues related to anti-money laundering, token issuance, and stablecoin-specific rules. Kraken's acquisition of the MiFID licence represents a strategic move to capture opportunities in Europe's expanding derivatives market. Arabian Post – Crypto News Network
