emre yumlu 
Gemini‘s head of Europe says the biggest challenge in MiCA compliance was allocating resources to build necessary infrastructure.
Gemini, the cryptocurrency exchange founded by the Winklevoss twins, is working to establish a dedicated hub in Malta to ensure compliance with Europe’s crypto regulations.
Gemini announced on January 20 that it had chosen Malta as its hub for compliance with the European Union’s Markets in Crypto-Assets (MiCA) framework.
This move came shortly after Gemini received its sixth European Virtual Asset Service Provider (VASP) registration from the Malta Financial Services Authority (MFSA) in December 2024.
According to Gemini, Malta‘s proactive approach to supporting fintech innovation and the crypto ecosystem provides an ideal environment for the exchange to drive its operations in Europe.
Gemini Has Not Yet Received MiCA License
While establishing its European MiCA hub in Malta, Gemini stated that it has not yet received a MiCA license from Maltese financial regulators.
Gemini’s Head of Europe, Mark Jennings, said: “To obtain a MiCA license, you either have to submit a new application, or there’s a transition period where you upgrade your existing VASP licenses into MiCA.”
As of January 20, Gemini holds VASP licenses in six EU countries, including Malta, France, Ireland, Spain, Italy, and Greece. With the French license, Gemini launched its crypto asset services in France in November 2024.
Custody as a Key Element in MiCA Compliance
For Gemini, one of the key elements of MiCA compliance was organizing compliant service infrastructure, said Jennings, adding that the requirements include tracking and ensuring unified customer onboarding processes that meet regulatory standards.
“Previously, we had different requirements to onboard customers in France, Spain, Italy,” the executive noted, adding that MiCA enabled the exchange to build a scalable solution supporting the entirety of Europe.
“I don’t see it as a challenge, but rather an opportunity,” said Jennings. “The biggest challenge we faced was allocating resources to build the necessary infrastructure to support MiCA,” he added, explaining that “the biggest point for most global exchanges is how we build a locally compliant custody offering… it requires a lot of infrastructure to do that.”
MiCA Adds Clarity, but Stablecoin Uncertainty Persists
With MiCA, Gemini believes Europe is moving away from fragmented regulations and adding transparency and resilience, said Jennings. “From our perspective, MiCA brings regulatory clarity to the customers who’ve required it,” the executive said.
Despite growing certainty regarding crypto regulation in the European Union, Jennings acknowledged that there is still some confusion about how MiCA treats certain stablecoins. Major stablecoin issuer Circle received MiCA approval for USDC last year.
On the other hand, Tether, the issuer of the largest stablecoin by market capitalization, USDT, opposed MiCA regulation, leading to speculation that USDT may be delisted across the EU as a non-compliant stablecoin.
Also, you can freely share your thoughts and comments about the topic in the comment section. Additionally, please follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.