Coinbase has secured a Markets in Crypto-Assets (MiCA) license from Luxembourg’s financial regulator, making it the first U.S.-based cryptocurrency exchange authorized under the EU’s regulatory framework. The license establishes Luxembourg as the company’s European hub, allowing it to serve all 27 EU member states and approximately 450 million people under a single framework. Coinbase plans to employ 22 people locally, with full MiCA operations expected by mid-2026, intensifying competition among major crypto firms for EU market access.
Coinbase has obtained a Markets in Crypto-Assets (MiCA) license from Luxembourg’s Commission de Surveillance du Secteur Financier (CSSF). This authorization makes it the first U.S. cryptocurrency exchange company approved under the European Union’s new regulatory framework.
The license establishes Coinbase Luxembourg S.A. as an independent service provider and the company’s EU operational hub. It allows the firm to offer its products across all 27 member states via MiCA’s passporting mechanism.
This grants access to a market of approximately 450 million people without needing separate national approvals. The company had initially selected Ireland for its MiCA operations in 2023 before relocating to Luxembourg.
Coinbase stated “By choosing Luxembourg, we’re positioning ourselves in a jurisdiction that understands the needs of the crypto industry and excels in regulatory clarity.” The company plans to employ 22 individuals in Luxembourg by the end of 2025.
Existing European customers will migrate to the Luxembourg entity through 2025. Full operation under the MiCA framework is planned by mid-2026.
Coinbase’s licensing coincides with efforts by other leading crypto firms to secure MiCA authorizations. Companies like Bybit, OKX, BitGo, and eToro have already acquired licenses, while Gemini’s authorization remains under consideration.
The MiCA framework provides a unified regulatory structure for exchanges, stablecoin issuance, consumer protection, and market transparency. It aims to replace the previously fragmented regulatory environment across European countries.
