Digital assets banking group Sygnum has scored a big win in its bid to expand its reach in Europe. The group, which is based in Zurich and Singapore, saw its subsidiary in Liechtenstein obtain a highly-coveted crypto asset service provider (CASP) license.
With this license, Sygnum is now allowed to offer regulated services across the European Union (EU).
Sygnum CASP License Opens Doors for Growth in the EU
Obtaining the CASP license means that Sygnum is now properly positioned to enter into the European Union under the region’s new regulatory framework Markets in Crypto-Assets Regulation (MiCA).
Automatically, the license permits Sygnum to offer major services such as brokerage, custody, and banking for digital assets. Therefore, the firm will now join the likes of Coinbase and Circle as they all prepare to extend their tentacles fully across Europe, even as MiCA takes effect.
“The registration as CASP in Liechtenstein paves the way for a significant expansion of our regulated footprint into the EU, the world’s largest trading bloc,” said Martin Burgherr, Sygnum’s chief clients officer.
About MiCA, the regulation is designed to cater directly to the crypto industry as a gateway to the European market. This means that licensed crypto firms may operate seamlessly across all 27 EU member states and countries in the European Economic Area, like Liechtenstein.
As earlier noted, Sygnum is headquartered in Switzerland, which is neither part of the EU or the European Economic Area.
Nonetheless, this new license means that Sygnum may still partake in Europe’s vast market via its Liechtenstein base.
In June, the EU implemented its stablecoin regulations under MiCA. However, there are wide expectations that the remaining rules will also come into full effect by December.
