The Winklevoss twins have designated Malta as the official hub for Gemini, the cryptocurrency exchange, in order to comply with the EU’s Markets in Crypto-Assets (MiCA) framework. This action demonstrates Gemini’s dedication to both innovation and regulatory compliance as it grows its footprint throughout Europe.
Malta: A Wise Decision for MiCA Adherence After obtaining its sixth Virtual Asset Service Provider (VASP) registration from the Malta Financial Services Authority (MFSA) in late 2024, Gemini decided to establish its European MiCA operations in Malta. Malta was a desirable location for Gemini to set up its regional base because of its progressive stance on the regulation of digital assets and encouragement of fintech innovation.
The new center will be essential in bringing Gemini’s services into compliance with MiCA’s specifications, which are to establish a uniform framework for bitcoin activities throughout the EU.
Creating an Ecosystem That Is Scalable and Compliant Mark Jennings, Gemini’s head of Europe, emphasized the importance of MiCA in providing much-needed clarity to the region’s crypto legislation. Gemini hopes to simplify compliance and provide smooth, scalable services to clients throughout the EU by consolidating its operations in Malta.
Prior to this change, different municipal laws in France, Spain, and Italy caused different onboarding procedures for clients. Gemini is now able to create a unified infrastructure that serves the whole European market thanks to MiCA.
Allocating funds to construct the infrastructure needed for MiCA compliance was “the biggest challenge,” according to Jennings. “But this difficulty also offers a great chance to innovate and establish new guidelines for regulatory compliance in the cryptocurrency industry.”
Resolving Custodial and Stablecoin Issues Despite the general clarity of MiCA’s regulations, there remain uncertainties regarding the handling of certain stablecoins. While some issuers, such as Circle, received approval for USDC, others, such as Tether’s USDT, may face delisting due to non-compliance. This has made it possible for alternatives that comply with MiCA to become more popular in the market.
Gemini’s compliance initiatives continue to center on custodial services. Within MiCA’s framework, establishing safe, locally compliant custody solutions is crucial to fostering confidence and maintaining operational integrity.
Looking Ahead: Growing Gemini’s Worldwide Presence Having just received in-principle approval from Singapore’s financial authority, Gemini is still looking for potential in Asia in addition to its European development. With Malta as its MiCA hub, Gemini is ideally positioned to take the lead in innovation and regulatory compliance, influencing the direction of digital assets globally.
This calculated action not only improves Gemini’s standing in Europe but also establishes a standard for how cryptocurrency businesses can successfully negotiate intricate regulatory environments while fostering innovation and expansion.
