Exciting Expansion: Gemini Secures MiFID II License to Launch Crypto Derivatives in Europe
Major news for the European crypto market! Gemini, the prominent cryptocurrency exchange founded by the Winklevoss twins, is set to significantly expand its offerings across the continent. The exchange has just received a key regulatory approval that paves the way for the launch of crypto derivatives in Europe.
Gemini Secures Crucial MiFID II License
Gemini announced on May 9 that it has been granted a Markets in Financial Instruments Directive II (MiFID II) license by the Malta Financial Services Authority (MFSA). This is a pivotal step for the company’s European strategy.
Mark Jennings, Gemini’s head of Europe, highlighted the significance of this license, stating it allows Gemini to offer regulated derivatives throughout the European Union and the European Economic Area (EEA) once business activities commence. This approval is a major milestone, bringing Gemini closer to providing derivatives access to both retail and institutional traders.
What Gemini’s Crypto Derivatives Will Include
The upcoming derivatives offering from Gemini in the EU and EEA is designed with advanced traders in mind. According to Jennings, the product suite will feature:
- Perpetual futures
- Other derivative instruments
These products will initially be available to advanced users on the Gemini platform. The company is now focused on meeting the necessary conditions to roll out these offerings across Europe in the coming months.
Regulatory Progress and Malta’s Role
This latest regulatory achievement builds on Gemini’s ongoing efforts to strengthen its presence and compliance within the European Union. Key regulatory steps include:
- Choosing Malta as the hub for complying with the EU’s Markets in Crypto-Assets (MiCA) framework, announced in January.
- Receiving its sixth European virtual asset service provider (VASP) registration from the MFSA in December 2024 (as per MFSA records).
- The issuance of the MiFID II license to Gemini Intergalactic EU Artemis, the Maltese entity, on May 8.
While significant progress has been made, Gemini has not yet obtained the full MiCA license.
The Rising Tide of Crypto Derivatives
Gemini’s move into the European derivatives market is part of a larger, notable trend within the global crypto industry. Derivatives trading is seeing increased focus and investment from major platforms.
Recent examples underscore this trend:
- Coinbase, a major US exchange, announced its acquisition of Deribit, a large crypto derivatives platform, on May 8.
- Kraken confirmed plans to acquire derivatives platform NinjaTrader to offer futures trading, following an earlier reported agreement.
These strategic acquisitions and expansions by major exchanges highlight the growing demand and importance of the derivatives market in the cryptocurrency space.
Conclusion: A Strategic Leap for Gemini in Europe
Securing the MiFID II license in Malta marks a significant strategic leap for Gemini in expanding its footprint and product range within Europe. By preparing to offer crypto derivatives, including perpetual futures, to advanced users, Gemini is positioning itself within a high-growth segment of the market. This move not only strengthens Gemini’s European operations but also reflects the broader industry trend towards integrating sophisticated trading products, driven by increasing institutional and advanced retail demand and evolving regulatory clarity.
