Key Takeaways
- The license allows the firm to offer regulated crypto derivatives, which includes perpetual futures, to retail and institutional users across EU and EEA
- Mark Jennings, Gemini’s head of Europe, called the approval “a hugely exciting development”.
Crypto exchange Gemini has obtained a Markets in Financial Instruments Directive (MiFID II) license from the Malta Financial Services Authority (MFSA), allowing the firm to offer regulated crypto derivatives which includes perpetual futures, to retail and institutional users across the European Union (EU) and European Economic Area (EEA).
The exchange said it is working with regulators to meet the conditions for a full-scale launch of these products, which will initially be available to advanced users.
Mark Jennings, Gemini’s head of Europe, called the approval “a hugely exciting development,” adding that it brings the company closer to serving a broader audience with more sophisticated offerings.
Gemini also said the license opens new growth opportunities in one of the most promising crypto markets globally and aligns with its long-term goal of acquiring a Markets in Crypto-Assets (MiCA) license. A MiCA license would further expand the range of regulated services Gemini could offer across EU member states.
The latest development comes months after Gemini secured in-principle approval from Malta Financial Services Authority (MFSA) for an investment firm license. Similar to Gemini, in the last few months, several top crypto exchanges have announced plans and expressed interest in expanding in EU ahead of MiCA’s full implementation. Earlier this year, Kraken, another leading crypto exchange has also acquired MiFID license in the European Union.
The announcement comes amid Coinbase, acquiring Derbit, a major crypto derivatives exchange in a staggering $2.9 billion deal. The move comes against the backdrop of a growing reception towards crypto derivatives trading. As per Coinglass data, in the first quarter of 2024, total crypto derivatives trading volume reached an impressive $21 trillion, with an average daily volume of approximately $233 billion.
