Throughout 2023, the crypto market grew significantly in Europe. Nearly a thousand crypto platforms have positioned themselves on the European crypto market. A trend which has materialized in the remarkable increase in the number of registrations obtained by these entities in recent months. It should continue with the entry into force of the MiCA standard.
Nearly 1,000 new crypto entities registered in Europe in 2023
This year, the European Union (EU) has seen its crypto ecosystem come together in a significant way. According to recent data, almost 1,000 virtual asset service providers (VASPs) have been registered in Europe in 2023.
That evolution does not go unnoticed, especially as it increases the total number of crypto entities registered on the old continent. According to estimates, this total is expected to accumulate to at least 11,597 by the end of the year.
Czechoslovakia leads the registration race, with 9,372 registered VASPs. These figures should be taken with a grain of salt since the Czech data is not up to date, which leaves room for potential fluctuations.
Poland comes in second place, with 1,067 crypto service providers considered in its registry. This country notes that a dozen new VASPs per week were recorded during the last quarter of 2023, indicating continued growth.
Even more entities attracted by MiCA regulations
More generally, this upward momentum in crypto platform registrations is unlikely to slow down. Analysts believe that it is expected to increase significantly once the MiCA standard is fully applicable.
It appears that EU member states are set to compete to attract crypto entrepreneurs looking to take advantage of MiCA rules. These enable businesses to operate compliantly and transparently across the EU.
As a reminder, MiCA is the EU’s first global regulation for cryptos. It is intended to establish uniform standards for businesses serving the Union’s 450 million inhabitants.
It should be noted that despite the remarkable increase in the number of crypto registrations, concerns remain about the potential decline in registrations after MiCA comes into force. For good reason, the strict, therefore exclusive, requirements that it introduces in terms of capital, internal controls and governance.
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