Banks Surge into EU Regulated Crypto Market Under MiCA

Banks are rapidly expanding their presence in Europe's regulated crypto market under the European Union's Markets in Crypto-Assets (MiCA) framework.

The number of banks on the EU's MiCA crypto provider list doubled to about 80 from roughly 40 between June 26 and Sept. 16, according to a Cointelegraph analysis of MiCA register data from the European Securities and Markets Authority (ESMA).

This growth has pushed traditional lenders' share of listed providers to nearly 23%, up from around 17% in late June.

The overall number of listed crypto-asset service providers (CASPs) rose from 243 to 349 over the period, but non-bank providers lost ground in relative terms, with their share falling from about 84% to 77%.

Germans banks drove much of this expansion, with dozens of cooperative and commercial banks appearing on ESMA's MiCA register. Deutsche Bank, Germany's largest lender, announced plans to launch digital asset custody services for institutional and corporate clients in Europe, expecting regulatory approval under MiCA in October.