Kraken has been aggressively growing its operations throughout Europe during the last two years.
One of the oldest registered crypto broker companies in the Netherlands, Coin Meester B.V. (BCM), has been acquired by cryptocurrency exchange Kraken.
The deal, finalized on Tuesday, marks a significant step in Kraken’s strategy to strengthen its footprint across Europe, the exchange said in a blog post.
By acquiring BCM, Kraken hopes to strengthen its position as a registered Virtual Asset Service Provider (VASP) in important European nations like France and Poland, as well as to further solidify its position in the Dutch market.
According to Brian Gahan, Managing Director of Kraken Europe, “the completion of the BCM acquisition is a key milestone in our European expansion, allowing us to leverage our strong footprint and market-leading position in euro volume and liquidity to significantly grow our market share.”
EU Gears Up for Implementation of MiCA
This action is being taken as the European cryptocurrency market prepares for the impending Markets in Crypto-Assets Regulation (MiCA), which is anticipated to impose more stringent regulations throughout the area.
Kraken has been aggressively growing its operations throughout Europe during the last two years.
Today, the exchange provides VASP services in a number of countries, including Germany, Spain, Italy, Belgium, Ireland, France, Poland, and the Netherlands, directly or through partnerships.
“We are one of the few in Europe that can combine global scale with a compliant offering and a superior client experience,” Gahan added.
We’re happy to share the close of the BCM acquisition! The deal significantly boosts our Dutch footprint and gives us registered operations in France and Poland. Read more here ⬇️ https://t.co/GoCIWEqrbD
— Kraken Exchange (@krakenfx) September 24, 2024
With growing costs and more competition, Kraken hopes to take a bigger market share in the still-fragmented European cryptocurrency market by utilizing its global reach and array of products.
Kraken has strengthened its brand presence through strategic sports partnerships in addition to its expansion efforts.
The exchange is now Tottenham Hotspur and Atletico Madrid’s Official Crypto and Web3 Partner.
The men’s and women’s teams of both clubs will wear jerseys with Kraken’s logo as the Official Sleeve Partner beginning in the 2024 campaign.
Kraken Responds to SEC Allegations Amid Regulatory Scrutiny
Kraken recently answered to the United States Securities and Exchange Commission’s (SEC) accusations that it had broken federal securities laws.
According to the SEC, a number of digital assets that Kraken offers ought to be categorized as unregistered securities.
In its defense, Kraken has denied these accusations, asserting that the assets in question do not meet the legal criteria to be considered securities.
Meanwhile, Kraken has recently faced a legal setback in Australia.
LLast month, Bit Trade, a division of Payward Incorporated, the parent company of Kraken, lost a case in federal court.
The platform has violated the nation’s Corporations Act section s994B(2) since October 2021, the court ruled in its decision.
In 2020, Kraken crypto exchange acquired Bit Trade to offer crypto offer digital asset services in Australia.