Kraken targets Lithuania for banking license as it expands EU regulatory footprint
A full license in Lithuania would let the exchange offer banking and investment services across the EEA, extending beyond its existing EU crypto and payments authorizations.
Kraken is seeking a full banking license in Lithuania as part of a broader European expansion that would extend the exchange’s regulated footprint beyond crypto and payments. CoinDesk reported, citing people familiar with the matter, that approval would make Kraken the only crypto exchange with such a license in Europe and would allow services across the European Economic Area, including current accounts, consumer lending and stock trading, as part of Payward’s global licensing strategy. The move builds on existing approvals for Payward Europe, including an Electronic Money Institution license in Lithuania and a MiCA crypto-asset service provider authorization in Ireland, which already give Kraken a base for payments and crypto services across the region. A full banking license would go further by enabling deposit-taking and a wider suite of traditional financial products under direct regulation.
- Electronic Money Institution license: A regulatory authorization that allows a company to issue electronic money, hold customer funds and process payments without being a full bank.
- MiCA crypto-asset service provider authorization: Approval under the EU’s Markets in Crypto-Assets framework that allows a crypto firm to offer regulated crypto services across the European Economic Area.
- EEA: The European Economic Area, which extends the EU single market across EU members and certain neighboring countries.