- With the new license, Bitstamp can facilitate trading in traditional asset classes like stocks and commodities.
- The license was granted by Slovenia’s Securities Market Agency.
Bitstamp secured a trading facility license in Europe. The approval, MiFID Multilateral Trading Facility license, enables one of the oldest cryptocurrency exchanges to offer advanced crypto derivatives, including perpetual swaps, to institutional clients across the region.
According to the exchange’s official announcement, this approval allows Bitstamp to provide institutional and retail clients with access to a wider range of financial products, particularly derivatives like perpetual swaps. The exchange received approval from Slovenia’s Securities Market Agency.
These financial instruments allow traders to speculate on the price movements of cryptocurrency tokens without the limitations of expiration dates.
Bitstamp’s new license allows it to offer crypto derivatives, particularly perpetual swaps. This type of derivative enables traders to maximize capital efficiency by providing exposure to the movements of cryptocurrency prices without owning the underlying assets. In addition to crypto, the exchange will now facilitate trading in more traditional asset classes, such as stocks and commodities, broadening its product suite for institutional clients.
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Crypto Derivatives And Perpetual Swaps
Speaking about the achievement, Jean-Baptiste Graftieaux, the Global CEO of Bitstamp, said: “We’re immensely proud to be one of the first cryptocurrency exchanges to be granted the MiFID MTF license. Not only is it a testament to our safety, security, trustworthiness, and compliance, but it is also emblematic of the industry’s increasing maturity as a whole.”
“With this license, Bitstamp will be able to offer derivatives products to investors, helping to usher in a trading ecosystem that supports a range of trading and investment strategies, including helping institutional investors achieve increased capital efficiency.”
These developments give investors more options to deploy trading and investment strategies that fit their financial goals. Institutional investors, in particular, can now engage in sophisticated financial instruments with the reassurance of a regulated environment, increasing capital efficiency in the process.
MiFID II, the framework regulating traditional financial markets across Europe, governs stocks, securities, and derivatives. By aligning with these standards, Bitstamp strengthens its place in the evolving financial landscape. Founded in 2011, the exchange has a long history of regulatory compliance and has become one of the most trusted players in the cryptocurrency industry.
