Kraken Launches Regulated Crypto Derivatives Trading in European Market
Kraken is launching regulated crypto derivatives trading in Europe, complying with MiFID II regulations. Key details include:
- Perpetual and fixed maturity futures contracts available for retail and institutional customers in the EEA.
- Permission granted through Greenfield Wealth, a Cypriot investment firm acquired by Kraken, enabling a license from CySEC.
- Other exchanges like Bitstamp and Gemini are also entering the European derivatives market.
- Kraken's $1.5 billion acquisition of NinjaTrader aims to enhance U.S. derivatives trading.
- European contracts have a daily trading volume between $1 billion and $2 billion, providing established liquidity and cost efficiency.
- Kraken’s Embed application allows neobanks and fintechs in Europe to offer derivatives and spot trading.
This move reflects a trend among crypto firms to secure licenses in smaller jurisdictions such as Cyprus and Malta to facilitate access to these financial products.