Coinbase has officially obtained the Markets in Crypto-Assets (MiCA) license from Luxembourg's financial regulator, CSSF. This significant regulatory approval allows Coinbase to operate crypto services uniformly across all 27 European Union member states, consolidating its previously fragmented national licenses into a single legal framework.
Luxembourg was selected as Coinbase's new European crypto hub due to its favorable stance on blockchain regulation and its progressive legal environment fostering financial technology innovation. This move enhances Coinbase's ability to access over 450 million users under one regulatory regime and simplifies compliance by reducing jurisdictional complexities.
The MiCA license mandates adherence to strict rules around consumer protection, asset custody, financial transparency, and market integrity, thereby boosting Coinbase’s credibility and governance standards. Establishing a centralized EU operation positions Coinbase to compete more effectively with other regulated exchanges like Crypto.com, OKX, and Bybit.
According to Coinbase’s Chief Legal Officer Paul Grewal, regulatory clarity brought by MiCA creates new opportunities to scale offerings and introduce new products in the European market faster. The license is viewed as a strategic milestone that not only facilitates regulatory compliance but also underpins sustained expansion and innovation within Europe’s evolving crypto ecosystem.