Crypto Licensing
CASP License Under MiCA
A CASP licence is the authorisation that lets a firm provide crypto-asset services legally across the European Union. Since 30 December 2024, MiCA — Regulation (EU) 2023/1114 — has replaced the patchwork of national VASP registers with a single, passportable standard. This page sets out what the licence covers, the capital it requires, how the passport works, and how long it honestly takes.
- EU 2023/1114
- the MiCA Regulation that created the CASP authorisation
- 30 Dec 2024
- date national VASP regimes began giving way to CASP
- €50k–€150k
- tiered minimum capital, by service class
- 4–9 months
- realistic end-to-end timeline, preparation included
One EU rulebook, replacing twenty-seven national regimes
A Crypto-Asset Service Provider authorisation is the licence created by MiCA to bring crypto services under a single, harmonised EU framework. It is overseen at EU level by the European Securities and Markets Authority (ESMA) and the European Banking Authority, while day-to-day authorisation is handled by each country’s national competent authority. In practice, obtaining a VASP licence in Europe in 2026 now means obtaining a CASP authorisation under MiCA (Regulation (EU) 2023/1114).
Services a CASP authorisation covers
- Custody and administration of crypto-assets on behalf of clients
- Operation of a trading platform (exchange)
- Exchange of crypto for fiat, or for other crypto-assets
- Execution, placement, reception and transmission of orders
- Advice on crypto-assets and portfolio management
- Transfer services and crypto-asset brokerage
Three capital tiers, set by the services you provide
MiCA sets clear minimum capital thresholds so that a provider can withstand market volatility and meet its operational obligations. The tier is a function of your permissions, not a choice.
| Capital tier | Services covered | In short |
|---|---|---|
| Class 3 · €50,000 | Reception and transmission of orders, advice on crypto-assets, portfolio management, and crypto-to-crypto exchange or custody without fiat involvement. | The lightest tier, for advisory, brokerage and non-fiat custody models. |
| Class 2 · €125,000 | Custody and administration of crypto-assets, exchange of crypto for fiat, and execution or placement of orders on behalf of clients. | The tier most crypto-to-fiat exchanges and custodians fall into. |
| Class 1 · €150,000 | Operating a trading platform, and the broadest combinations of the services above under a single authorisation. | The tier for full trading venues and multi-service platforms. |
Figures are the MiCA minimum own-funds thresholds. Real all-in project cost also includes local substance, AML build-out, audited financials and ongoing reporting. Always confirm current figures with the national competent authority.
One authorisation, twenty-seven markets
The passport is the point of MiCA. A CASP authorised in one EU member state can provide services across the entire European Economic Area without a separate authorisation in each country. You authorise once with your home national competent authority, notify the states you intend to serve, and then operate bloc-wide. That is precisely why a single, well-chosen jurisdiction now beats stacking legacy VASP registrations across borders.
Authorise once with a single national competent authority in your chosen home state.
Notify the other member states you intend to serve, rather than re-applying in each.
Serve customers across the EU and EEA under one licence and one rulebook.
AML, governance, and the substance regulators actually check
A national competent authority assesses your real governance and controls, not a form. These are the pillars every CASP application has to stand on.
AML / KYC framework
Customer identity verification, risk-based transaction monitoring, suspicious activity reporting and ongoing compliance audits, aligned with the EU anti-money-laundering framework.
Director residency & local substance
At least one EU/EEA-resident director with fit-and-proper standing, and, in several member states, a genuine physical office rather than a registered address.
MLRO appointment
A Money Laundering Reporting Officer, often locally resident, who oversees AML compliance and is the point of contact with the national competent authority.
Capital & operational resilience
Minimum capital held per the tier above, plus cybersecurity, business continuity, internal governance and client-asset segregation controls.
Alongside these, MiCA carries a consumer-protection duty — clear disclosure of fees, risks, custody arrangements and conflicts of interest — and the Transfer of Funds Regulation (EU 2023/1113) applies the FATF Travel Rule to crypto transfers from 30 December 2024, with no transitional grace period for that rule.
Where firms authorise, and what each regulator is known for
Because the licence passports, the jurisdiction you pick shapes cost, timeline and banking access rather than market reach. These are the routes we see most.
| Jurisdiction | Authority | Timeline | Capital | Known for |
|---|---|---|---|---|
| Lithuania | Bank of Lithuania | 4–6 months | €50k–€150k | Fintech-friendly onboarding and strong EMI access alongside licensing |
| Estonia | FIU | 4–7 months | €50k–€150k | e-Residency and a structured, tech-forward compliance regime |
| Poland | KNF | 4–8 months | €50k–€150k | Affordable EU entry; CASP requires a physical office and an EU-resident director |
| Malta | MFSA | 5–9 months | €50k–€150k | Deep crypto track record and high regulatory prestige under MiCA |
| Cyprus | CySEC | 5–8 months | €50k–€150k | Strong for brokerage and advisory firms transitioning to CASP |
Timelines are indicative and depend on applicant readiness and the completeness of the file. Higher-bar authorities such as Germany’s BaFin and France’s AMF can run longer. Confirm current requirements with each national competent authority.
Four to nine months, and a transition that is closing
4–9 months
End to end, including preparation, capital injection and building local substance. The regulator’s assessment clock is only part of it; a complete, well-argued file is what shortens the rest. Weak AML and governance are the commonest cause of delay.
~1 July 2026
The latest end of the VASP-to-CASP transitional window. Existing VASPs registered before 30 December 2024 can rely on grandfathering until then, sooner in several member states, and some set earlier submission deadlines. Relying on a legacy registration past your cut-off risks interrupting your right to operate.
If you already operate under a national VASP regime, the timeline and the deadline interact: authorisation can take longer than the runway you have left. That is the case for starting the CASP file now rather than at the edge of the window.
The licence, and the banking a licence alone does not guarantee
We assess your model, select the jurisdiction, and manage the full application and compliance build-out — and, critically, line up the fiat rails in parallel, because a licence without a bank account is half a business.
Jurisdiction selection
A data-led read on the balance between regulatory prestige, cost and banking access, matched to your services and target market.
Application & compliance build-out
AML and KYC policies, governance and fit-and-proper files, capital structuring and the local-substance arrangements the authority expects.
Regulator management
End-to-end handling of the submission and the authority’s questions, so the file lands complete rather than bouncing on gaps.
Banking in parallel
We connect authorised CASPs with crypto-friendly banks and EMIs, arranging the fiat rails alongside the licence rather than after it.
Related routes: our licensing service, our crypto & digital work, and the wider crypto & Web3 consultancy. Comparing options? See the VASP licence in Europe and the offshore crypto licence pages, or return to the crypto licensing hub.
Frequently asked questions
What is the minimum capital for a CASP under MiCA?
MiCA sets tiered minimum capital of €50,000, €125,000 or €150,000 depending on the crypto-asset services you provide. Advisory, order transmission and non-fiat custody sit at €50,000; crypto-to-fiat exchange and custody at €125,000; operating a trading platform at €150,000. The tier is dictated by your permissions, not chosen freely.
How long does CASP authorisation take?
Plan for four to nine months end to end, and longer in higher-bar member states. Once you file a complete application, the national competent authority has a defined window to assess it, but preparation, capital injection and building local substance usually take longer than the assessment itself. The single biggest cause of delay is a weak application on the AML and governance side.
Can a CASP licence be passported across the EU?
Yes, and it is the central advantage of MiCA. Once your home national competent authority authorises you as a CASP, you submit a notification to operate in other member states and can then serve customers across the EU and EEA. A single, well-chosen jurisdiction now beats stacking multiple legacy VASP registrations.
When does the VASP-to-CASP transitional period end?
Existing VASPs registered before 30 December 2024 can rely on a grandfathering window that ends, at the latest, on 1 July 2026, and sooner in several member states. Some countries also set earlier application-submission deadlines to avoid a hard stop. Acting early avoids a gap in your right to operate.
Will a bank still put a licensed CASP through review?
Yes. A MiCA licence is treated by banks as a gateway credential, but it does not remove enhanced due diligence on your UBOs, AML manuals and source of funds. Even with a licence, onboarding a fiat account commonly takes several months. Banking should be arranged in parallel with licensing, not after it, which is where BankMyCapital works.
Get a straight read on your CASP route, before you commit
Tell us your model and target market. We will tell you which jurisdiction fits, what it will cost and how long it will take, and whether banking will follow — in writing, under NDA.
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