Germany Entrenches Its Lead in EU Crypto Licenses Amid MiCA Regulatory Push

Germany has solidified its position as the European leader in crypto asset service provider (CASP) licenses, according to the latest update from the European Securities and Markets Authority (ESMA). Six cooperative banks have been added to ESMA's MiCA register, bringing Germany's total number of licensed CASPs to 79.

This is a significant increase from late June, when Germany had 57 licensed providers. Since then, the country has added 22 authorized providers, while the overall European register has increased by 87.

The latest additions include Raiffeisenbank Aidlingen, Ihre Volksbank, VR Bank Mittelfranken Mitte, Volksbank Euskirchen, VR Bank Ried Überwald, and Volksbank Backnang. These banks join a growing list of German cooperative banks that have received crypto licenses under the MiCA framework.

Germany's MiCA lead has been attributed to its large financial sector and existing regulatory system before the EU rules came into effect. The country had classified crypto custody as a regulated financial service, allowing providers to use simplified procedures when seeking authorization under the EU rules.