The licence was granted by the Securities Market Agency in Slovenia to Bitstamp Financial Services, the exchange’s subsidiary. This MTF licence allows Bitstamp to provide crypto derivatives products, including perpetual swaps, to both institutional and retail clients. These offerings complement Bitstamp's existing spot exchange services and may provide investors with opportunities for increased capital efficiency and indirect exposure to cryptocurrency.
The MiFID regulation (Markets in Financial Instruments Directive) oversees traditional financial markets in the European Union. It establishes a regulatory framework that applies to various financial products, including stocks, securities, and derivatives, as well as to financial institutions such as trading platforms, investment managers, and banks. Bitstamp’s recent licence classifies it among the few cryptocurrency exchanges authorised under this directive, allowing it to facilitate EU-regulated crypto derivatives trading.
The MTF licence recognises Bitstamp's adherence to strict regulatory standards, including capital requirements, corporate governance, and client protection measures. Additionally, the licence reflects the robustness of Bitstamp’s internal controls for security, anti-money laundering protocols, and regulatory compliance.
Bitstamp officials commented on the achievement, noting that being granted the MiFID MTF licence highlights the exchange’s commitment to safety, security, and regulatory standards. They added that the licence will enable Bitstamp to introduce derivatives products, creating an environment that supports a range of investment strategies and potentially enhancing capital efficiency for institutional investors.
With this licence, Bitstamp is looking to solidify its position within the evolving cryptocurrency landscape as one of the few regulated exchanges capable of offering a broader array of financial instruments.
As part of its efforts to comply with regulatory standards, in June 2024 Bitstamp made changes to its platform to adapt to MiCA. At the time, officials from Bitstamp revealed that they welcome the implementation of MiCA, which will standardise the regulation of cryptocurrencies across the European Union.
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