Kraken's European Expansion: Acquiring BCM

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Martin Walker
Oct 7, 2023 at 10:37 am

In order to expand its European business landscape and broaden its horizons, Kraken, a well-established and highly regarded virtual currency exchange network, has recently made a significant declaration of intent. The plan is to acquire Coin Meester B.V. (BCM), a distinguished and reputable crypto brokerage firm situated in the Netherlands.

This strategic acquisition is a proactive step aimed at strengthening and solidifying Kraken's foothold within the European region. It aligns perfectly with the ongoing changes in the regulatory landscape, demonstrating Kraken's commitment to compliance and adaptability.

The Acquisition Journey of Kraken and BCM

According to the official statement released by Kraken, BCM, founded back in 2017, has managed to establish itself as one of the pioneering and most trusted registered crypto brokers in the Netherlands. This reputation is a result of their steadfast presence and unwavering commitment to the cryptocurrency industry.

As detailed in a recent blog post, BCM currently boasts an impressive portfolio featuring as many as 170 different crypto assets. Their service offerings encompass buying, selling, and staking options, allowing users access to a wide array of over 170 cryptocurrencies, alongside various local funding avenues.

This imminent merger or acquisition is anticipated to propel Kraken further into the Dutch market, offering the existing BCM clientele a gateway to a comprehensive suite of Kraken's products. This collaboration comes with a promise of heightened security measures, improved liquidity, and enhanced client support, available 24/7 for the benefit of BCM's esteemed customers.

Kraken's CEO, David Ripley, expressed his thoughts on this pivotal acquisition, stating:

"The acquisition of BCM stands as a strategic move that positions Kraken considerably within the Dutch market, opening doors for BCM's clients to experience an even broader product selection and enhanced services."

He also emphasized the significance of the Netherlands, acknowledging it as one of the world's leading economies in terms of innovation and crypto adoption. This acknowledgment reinforces Kraken's vision, identifying the region as a prime market for their strategic expansion plans within Europe.

BCM's CEO and co-founder, Mitchell Zandwijken, echoed this sentiment of triumph, stating:

"With Kraken's illustrious track record spanning well over a decade, our clients at BCM are set to benefit from the full spectrum of what the crypto world has to offer, driven by Kraken's ongoing investments and dedication to innovation."

Kraken's Endeavor for European Regulatory Compliance

This strategic acquisition involving the prominent Dutch entity BCM forms a crucial part of Kraken's overarching strategy, aiming to attain regulatory compliance, particularly within the European landscape. The recent introduction of the Markets in Crypto-Assets (MiCA) regulatory framework by the European Commission has set the stage for comprehensive regulations governing cryptocurrencies, stablecoins, and other assets within the blockchain sphere.

Moreover, this newly established regulatory framework not only paves the way for industry players to invest in the European region but also facilitates consumer access to a myriad of services, contributing to the growth of the cryptocurrency market.

However, it's imperative to note that achieving proper VASP registration within the region is a prerequisite. In a significant milestone, the Apex Bank of Ireland granted Kraken a license to operate as an e-money institution within the county, underscoring Kraken's commitment to regulatory compliance.

Furthermore, Spain, through its Apex Bank, officially recognized and registered Kraken as a VASP. Additionally, Kraken holds a valid operating license related to cryptocurrency operations in Italy and is actively engaged in pursuing more registrations across different countries, bolstering its presence and compliance on a global scale.

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