- BitGo has received a MiCA license from BaFin, allowing it to provide compliant crypto services over the European Union.
- Some of the members believe that MiCA could result in the shutdown of some companies or their merging, as they demand greater scale to meet regulatory demands.
A digital asset trust company, BitGo, recently got a MiCA license from BaFin. The license will permit the firm to offer regulated crypto services over the European Union.
On May 12, BitGo announced through a blog post that the firm had received a license from Germany’s Federal Financial Supervisory Authority and that it had been granted to BitGo Europe GmbH.
BitGo Europe GmbH is the company’s European body set up two years ago, having registered in various European Union countries such as Italy, Spain, Poland, and Greece. The company also mentions that it is now well established to serve crypto-native companies and traditional financial institutions.
Disagreement with BitGo’s View
It will serve the bodies that are seeking to engage with virtual assets through a means of secure and compliant infrastructure provider. The company further mentioned that the European Union is a global hub for virtual asset innovation influenced by MiCA’s clear, harmonized approach to laws.
Also, the new regulations have aided in accelerating institutional participation and have increased trust in the market. Also, not everyone in the industry is convinced by the point of view of BitGo regarding MiCA.
Some of the members believe that MiCA could result in the shutdown of some companies or their merging, as they demand greater scale to meet regulatory demands. Towards the end of 2024, MiCA came into full effect.
It has aimed to replace the so far established regulatory landscape with a single set of rules over all 27 EU member states. As per the analysts at TRM Labs, just 17 crypto businesses had obtained authorization under MiCA in seven EU countries, quoting data provided by the European Securities and Markets Authority.
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