Gemini Secures Regulatory Approval to Launch Crypto Derivatives in Europe

By: Isha Das

US-based cryptocurrency exchange Gemini has successfully obtained a Markets in Financial Instruments Directive II (MiFID II) license from the Malta Financial Services Authority (MFSA). This pivotal acquisition permits Gemini to expand its operations by offering regulated crypto derivatives, such as perpetual futures, across the European Union (EU) and the European Economic Area (EEA).

The license marks a significant milestone in Gemini's ambitious strategy to intensify its presence in the European market by 2025. Mark Jennings, Gemini's head of Europe, expressed enthusiasm regarding this development, emphasizing the company's commitment to offering its derivative products to both retail and institutional users within the EU and EEA. As part of this broader strategic move, Gemini plans to continue pursuing a Markets in Crypto-Assets (MiCA) license, which would further widen the scope of regulated crypto services they can offer in EU member states.

The decision to base its European licensing efforts in Malta is indicative of the island's attractive regulatory framework for crypto businesses. Malta, often referred to as "Blockchain Island," provides a supportive environment that aligns with the needs of burgeoning digital asset companies. As regulatory clarity continues to be a crucial factor in determining the operational landscapes for crypto enterprises, many global firms have been pivoting to jurisdictions where legal frameworks like the MiCA offer a clearer pathway.

This development is part of a larger industry trend where notable crypto firms, including Crypto.com, Kraken, and Coinbase, are making significant inroads into the European market. The region’s regulatory advancements, particularly the adoption of MiCA, are transforming Europe into a magnet for companies seeking predictable and transparent legal conditions, amidst surging institutional and retail investor interest in digital assets.