Kraken, a U.S.-based crypto exchange company, has officially expanded its operations in the European market. The exchange is making its presence known in Europe with the launch of regulated crypto derivatives trading across the European Economic Area (EEA). Announced on May 20, the new service by Kraken will operate under the European Union’s MiFID II regulatory framework. It will be facilitated through Kraken’s Cypriot-based entity called Payward Europe Digital Solutions.

Kraken Takes Its Operations to Europe

This strategic move comes right after Kraken acquired a licensed investment firm in Cyprus earlier this year. That was the first step the exchange took to roll out its new derivatives platform in the region. Their services include perpetual and fixed maturity crypto futures contracts. This will allow the traders to speculate on price movement or hedge existing positions without directly holding the underlying digital assets.

Shannon Kurtas, Kraken’s Head of Exchange, said, “Europe is one of the fastest-growing regions for digital asset trading and investment. Clients and partners increasingly seek comprehensive offerings within a regulated framework.”

The goal of this launch is to cater to both institutional and retail clients. The new product will offer enhanced liquidity, the ability to deploy more advanced strategies, and efficient trading tools. By integrating derivatives with its existing services, such as spot trading and staking, Kraken is positioning itself as a one-stop shop for crypto investors in the region. Read our full review of kraken exchange.

The growth of Kraken is consistent with general market patterns. Europe has seen a significant increase in interest in cryptocurrency derivatives, particularly following the implementation of the EU’s Markets in Crypto-Assets Regulation (MiCA). Kraken’s regulated entry is a major step in combining established financial frameworks with cutting-edge crypto technologies, since MiFID II is now progressively overlapping with digital asset markets.

To further showcase its dedication to the derivatives market, Kraken bought NinjaTrader, a futures trading platform. With a 19% annual year-over-year increase, the exchange also generated $471.7 million in income for Q1 2025, therefore demonstrating great demand for its products. With increasing regulatory scrutiny all across the crypto landscape, Kraken’s proactive and compliant strategy might provide a competitive edge. By setting a high standard in regulatory adherence, the exchange not only strengthens its European presence but also signals long-term ambitions in shaping the future of digital finance.

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