Blockchain.com secures Malta MiCA license as company eyes European expansion

Blockchain.com has obtained a MiCA license in Malta, the latest in a wave of crypto companies seeking to access the EU market via the island, including Kraken, Gate and Gemini.

A spokesperson for Blockchain.com said Decrypt that Malta offered “the right combination of regulatory transparency, institutional expertise and strategic access to the European Economic Area”.

“It will serve as the hub of our European operations going forward. With Fiorentina D’Amore now leading our European strategy from Malta, we are well placed to expand our services across the region with full compliance and strong local leadership,” they added.

This license marks a significant expansion for Blockchain.com in Europe, where the company has shifted its focus from centralized exchanges to brokerage, institutional infrastructure and self-custody wallet services, all segments it sees as increasingly important.

A spokesperson said the company was also monitoring regulatory developments in the United Kingdom, Singapore, Latin America and the Middle East, and remained alert to the possibility of a public listing in the United States, although it did not respond to rumors earlier this week that it was planning one.

MiCA and “passport”

MiCA, short for Markets in Crypto-Assets Regulator, came into full force at the end of 2024, creating the first unified regulation for digital asset providers across the European Union. It allows crypto companies to apply for authorization in one member state and use it as a “passport” to operate in all 27 countries.

Malta’s light-touch approach to crypto regulation has raised eyebrows among European regulators. By mid-September, market authorities in France, Austria and Italy called in favor of stronger EU oversight, noting that the early implementation of MiCA revealed major differences in how national regulators oversee crypto markets. They argued that direct supervision by the European Securities and Markets Authority (ESMA) would better protect investors.

A July ESMA review of Malta’s licensing practices find that while the Malta Financial Services Authority (MFSA) has demonstrated strong expertise and cooperation, some risks were not fully assessed during authorization. Critics say Malta’s lenient stance on gambling and its history of offering “golden passports” have fueled perceptions of regulatory arbitrage allowing easier access to the EU than would be possible in neighboring countries.

The European Banking Authority (EBA) has also flagged what it calls “forum shopping,” where crypto companies seek authorization in countries perceived to be more lenient before using their licenses across the EU. He warned that the practice could undermine the integrity of the bloc’s financial system.

Despite the criticism, some legal experts say regulatory diversity is an inevitable feature of a single market. Dr Hendrik Müller-Lankow, lawyer at the German law firm Kronsteyn, said previously Decrypt that prudential arbitrage occurs across Europe but remains a by-product of the balance between national discretion and European integration.

“It is well known that citizens – and therefore authorities – of different member states have different mentalities when applying laws,” he said.