Kraken, the cryptocurrency exchange operated by parent company Payward, is seeking a full banking license in Europe, with Lithuania identified as the likely jurisdiction for approval. This move would add a banking layer to Kraken’s existing regulatory permissions, including its Markets in Crypto-Assets (MiCA) authorization from the Central Bank of Ireland and its Markets in Financial Instruments Directive (MiFID) license from Cyprus.
If approved, Kraken would become the only cryptocurrency exchange with a full banking license across the European Economic Area (EEA). The license would allow the firm to offer euro-denominated accounts, hold customer deposits, and provide credit services, subject to product-level approval from regulators. It would also place Kraken under direct banking supervision in Lithuania, where regulators would review how the exchange separates crypto activity from traditional banking services.
Kraken’s strategy follows a path pioneered by Revolut, which received a specialized European banking license from the Bank of Lithuania in 2018. Lithuania has become a common entry point for fintech firms seeking access to the broader EU market. Other companies with banking licenses in the country include Mano Bank, PayRay, European Merchant Bank, AB Fjord Bank, and Saldo Bank.
Kraken co-CEO Arjun Sethi outlined the company’s long-term licensing strategy at Money20/20 Europe in Amsterdam in June 2026, stating: “The plan for the next 10 years is to get all of these licenses, either through buying an existing business or going de novo in each region and starting from scratch.” This approach builds on earlier milestones, including Kraken Financial’s access to the Federal Reserve’s Fedwire system in March 2026 and authorization from the UAE’s Virtual Assets Regulatory Authority in May 2026.