As a US-regulated platform, BitGo specializes in cryptocurrency custody for institutional clients, which positions it well within the evolving European regulatory landscape.

Crypto.com has secured a MiFID license, allowing it to offer regulated cryptocurrency financial derivatives across the European Economic Area, which will significantly enhance its operations in Europe.

The MiCA framework aims to protect investors and stabilize markets by establishing clear rules for crypto services, including custody and token classification, which is vital for fostering institutional trust.

BitGo is actively forming strategic partnerships with banks and asset managers to provide integrated infrastructure for custody, trading, and settlement, ensuring compliance with regulatory standards.

This move comes on the heels of Kraken's acquisition of a licensed Cypriot investment firm, approved by the Cyprus Securities and Exchange Commission in early February 2025, further solidifying its presence in the region.

Derivatives trading is crucial for Kraken, constituting about half of its global trading volume and underscoring the importance of this segment to its overall strategy.

Harald Patt, Managing Director of BitGo Europe GmbH, emphasized that receiving the MiCA license reflects the firm's commitment to security, transparency, and trust in the European crypto market.

Shannon Kurtas, Kraken's head of exchange, noted that Europe is experiencing rapid growth in digital asset trading, highlighting the demand for comprehensive offerings within a regulated framework.

Crypto.com must adhere to stringent regulatory guidelines, which enhances its reliability and compliance in the financial market, setting a precedent for other crypto firms.

This trend of seeking regulatory approvals is seen across the cryptocurrency sector, with firms like Gemini also enhancing their compliance efforts to prioritize customer safety.

In contrast to its success in Europe, BitGo has faced challenges in the US market, particularly in achieving recognition as a 'qualified custodian' under SEC regulations.

While BitGo has not detailed the specific services it will offer under the MiCA license, it aims to provide a broad range of institutional-grade digital asset solutions to meet growing demand.