Licensing & Compliance

Crypto Licensing

Under MiCA — Regulation (EU) 2023/1114, applying to service providers since 30 December 2024 — a crypto licence has stopped being a formality and become the credential your bank checks first. There are three real routes: a national VASP registration, a MiCA CASP authorisation, or an offshore licence. This page explains how they differ and routes you to the deep dive on each, so you pick the one your target market and banking plan actually need, not the one that is easiest to sell you.

MiCA
Reg (EU) 2023/1114, applying from 30 Dec 2024
1 Jul 2026
transitional deadline for legacy VASPs in most EU states
€50k–150k
tiered CASP capital, by service type
EU + offshore
we place and license across both, honestly
03CASP vs VASP vs offshore

The three routes, compared where it matters

Cost and speed are the easy columns. Banking access is the one nobody publishes, so it is here. A MiCA CASP licence carries the most weight with EU banks; an offshore licence is usually a holding layer, not the entity a European bank will actually open for.

 MiCA CASPNational VASPOffshore
Regulatory basisMiCA, Reg (EU) 2023/1114, harmonised EU-wideNational regime (pre-MiCA), country by countryLocal statute, standards vary widely
Market accessFull EEA passporting from one authorisationLimited to the issuing state; transitional onlyPrimarily non-EU and emerging markets
Minimum capital€50k / €125k / €150k, tiered by serviceSet by the national regime, being phased outLow or flexible; sometimes none formally
Setup speedModerate to slow; enhanced due diligenceFaster historically, now closing to new entrantsFast to moderate
Banking accessStrongest: banks treat it as a gateway credentialModerate, narrowing as CASP becomes the standardLimited with EU banks; a holding layer, not the banked entity
Best forFirms scaling across Europe long-termIncumbents mid-migration to CASPCost-sensitive, non-EU-focused startups

Capital bands and timelines are indicative and vary by applicant history, service mix and counsel. Banking access reflects our current placement experience, not a guarantee for any specific institution.

What MiCA actually requires across the EU
04The EU picture

MiCA, in plain terms, and where it applies

MiCA replaced a patchwork of national VASP regimes with one harmonised authorisation. Get a CASP licence in one member state and you can passport services across the whole EEA. In return, the bar rises: tiered capital, a resident director, an appointed MLRO, custody safeguards and the FATF Travel Rule, mandatory for CASPs since 30 December 2024 with no grace period.

Capital, tiered by service

€50,000 for advisory and order execution, €125,000 for crypto-to-fiat exchanges, and €150,000 for trading platforms and custody.

Governance and substance

At least one EU/EEA-resident director, a physical office in the licensing state, and an appointed Money Laundering Reporting Officer.

Where the file moves

Estonia, Lithuania, Malta and Poland are the jurisdictions we place against most, each with a different cost, timeline and banking temperament.

Authoritative sources: MiCA, Regulation (EU) 2023/1114 (EUR-Lex), ESMA and the FATF virtual-assets guidance on the Travel Rule.

And when offshore is the honest answer
05Offshore, honestly

Offshore is cheaper and faster. It is also banked differently.

Seychelles, Cayman, Vanuatu and BVI can stand up a licence quickly and at low cost, and for a business targeting non-EU markets that can be the right call. But an offshore VASP is usually treated as a holding layer, not the entity an EU bank will open for, and without solid Travel Rule tooling it gets de-risked by correspondent banks. We tell you which of your entities a bank will actually want to see before you file.

  • 1

    Seychelles: quick, low-cost registration under the VASP Act, most often used as a stepping stone rather than the banked entity.

  • 2

    Cayman Islands: respected offshore standing, VASP registration case-by-case on banking; a familiar name to institutional counterparties.

  • 3

    Vanuatu and BVI: flexible and fast to incorporate, but thin on EU banking access and reliant on strong compliance to hold correspondent relationships.

  • 4

    Travel Rule everywhere: the FATF Recommendation 16 control is what keeps global banking partners on side, offshore or not.

Read the offshore crypto licence deep dive
Where crypto licensing sits in the wider service
07Straight answers

Frequently asked questions

What is the difference between a VASP and a MiCA CASP?

A VASP (Virtual Asset Service Provider) is the FATF term used for national registrations worldwide. In the EU those national regimes are being replaced by the CASP (Crypto-Asset Service Provider) authorisation under MiCA. The practical difference is passporting: a CASP licence lets you provide services across all EU member states from a single authorisation, whereas a VASP registration is generally limited to the country that issued it.

When does the MiCA transition actually bite?

MiCA (Regulation (EU) 2023/1114) began applying to crypto-asset service providers on 30 December 2024. Firms already registered as VASPs before that date can, in most member states, keep operating under a transitional period running to roughly 1 July 2026 — but only if they file a full CASP application by their national deadline. The exact deadline differs by country, so the country you sit in changes your timeline.

What are the MiCA CASP capital requirements?

They are tiered by the service you provide: €50,000 for advisory or order-execution services, €125,000 for crypto-to-fiat exchanges, and €150,000 for trading platforms and custody. These minimums exist so the regulator can see you are capitalised enough to survive market stress, and banks read them the same way.

Do offshore VASPs still need the Travel Rule?

In practice, yes. The FATF Travel Rule (Recommendation 16) has been adopted well beyond the EU, and offshore VASPs that cannot originate and receive counterparty data get de-risked by correspondent banks quickly. In the EU the Transfer of Funds Regulation makes it mandatory for CASPs with no grace period; offshore, it is the single control that keeps global banking partners on side.

Which EU jurisdictions do you work in for CASP licensing?

We work most often in Estonia, Lithuania, Malta and Poland. Each has a different capital level, director-residency rule and banking temperament, and the right one depends on your service mix, budget and where you actually want to bank. We give you the honest comparison before you incorporate anywhere.

How long does bank onboarding take once the licence is granted?

Even with a licence in hand, expect three to six months. Banks run enhanced due diligence on your UBOs, your AML manuals and your source-of-funds file. The licence gets you in the door; the compliance folder is what closes the account. We build that folder to institutional standard so the review does not stall on missing documents.

A few guides worth reading next
09One safe step

Know which licence fits, before you incorporate anywhere

Tell us your service mix, target market and rough budget. We come back with the honest route — CASP, VASP or offshore — and the banking picture that comes with it.

01

You tell us your situation in a line or two.

02

A person reads it the same day. Not a bot.

03

You get a written answer within 48 hours, under NDA.

Free pre-approval check

Tell us where it hurts. A written read on your options in 48 hours.

Give us at least one way to reach you.

Under NDA from the first message. A real person replies within 48 hours.

Free pre-approval check · 48h answer