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A sweeping regulatory shift is coming for the European crypto market as MiCA regulations take effect on July 1.
All exchanges serving European Union customers are now required to obtain official Crypto Asset Service Provider (CASP) authorization to continue operating legally. Kraken Exchange, which has been active in Europe since 2011, confirmed that it is already authorized to meet the new regulatory framework. The company warned that some major competitors have not secured CASP authorization and may not be able to serve EU clients following the rule change. European crypto users are advised to check the compliance status of their platforms as enforcement begins.
Kraken Exchange previously confirmed it was prepared for the MiCA regime as the July 1 deadline approached, stating that its European operations would remain stable under the new rules (Kraken Exchange announces readiness for new MiCA regulations). Earlier this year, the company reported over $100 million deposited into its Bitcoin Vault product, which offers users a 2.5 percent APY paid in Bitcoin (Kraken Exchange reports over 100 million dollars deposited into Bitcoin Vault). These developments come as regulatory expectations for digital asset service providers continue to rise in the EU.