In brief

  • Kraken Futures (aka Crypto Facilities) has obtained an MTF license in the UK.
  • The license lets Kraken Futures reach customers who must trade on regulated platforms.
  • Kraken Futures is the first cryptocurrency firm to obtain such a license.

Crypto Facilities, which trades under the name Kraken Futures following last year’s acquisition by the cryptocurrency exchange, has obtained the first-ever Multilateral Trading Facility (MTF) license in the United Kingdom for a cryptocurrency firm.

According to a release, the license—awarded by the UK’s Financial Conduct Authority (FCA)—will allow Kraken Futures to reach customers who are legally required to trade on regulated platforms, and allow the company to expand its product offerings.

The licensed acquisition also makes Kraken Futures the only licensed derivatives marketplace in Europe that can offer leveraged cryptocurrency trading. These futures contracts let traders gain exposure to crypto without actually holding any tokens.

AD

According to the FAQ on the firm's website, Kraken Futures currently offers futures contracts priced in US dollars on Bitcoin (Bitcoin Futures), Ethereum, Litecoin, Ripple's XRP, and Bitcoin Cash.

“We undergo these licensing efforts because Kraken is about making crypto accessible for everyone,” said Kraken CEO and co-founder Jesse Powell, in a release. “This particular license means that a sophisticated class of investors, limited by their own requirements to interface with a regulated venue such as an MTF, will now have access to crypto derivatives in Europe for the first time. More participants means more liquidity and a better experience for everyone.”

Kraken is Europe’s largest cryptocurrency exchange in terms of euro trading volumes, it claims, offering trading for 30+ digital currencies and seven fiat currencies. The exchange has some 4 million global users.

A June report from Finery Technology found that Kraken offers the best Bitcoin to euro liquidity in Europe, beating rivals such as Binance, Coinbase, and Bitstamp.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.

Stay on top of crypto news, get daily updates in your inbox.