A major step for advancing bitcoin adoption by the existing financial system as Luxembourg has granted the European bitcoin exchange Bitstamp today a license as a fully regulated Payment Institution. Bitstamp has also announced today it launches BTC/EUR trading marking its connection to the continent.
The license has been signed by Luxembourg’s Minister of Finance Pierre Gramegna. He stated, “Luxembourg has a long-standing history as an international leader in innovation. That Bitstamp has chosen Luxembourg as its European hub only strengthens that reputation. I believe this announcement marks a milestone for bitcoin and digital finance in Europe. Bitstamp is a most welcome addition to Luxembourg’s fintech ecosystem.” Glad to sign the payment institution license for @bitstamp , the latest addition to #Luxembourg ‘s #fintech ecosystem pic.twitter.com/SG1HFxOslE The license will come into effect on July 1st, when Bitstamp’s new headquarters in Luxembourg will be fully operational. The license is passportable into all the 28 EU member states providing the exchange with an authorization to offer its services to a very large market from the tiny country.
Dan Morehead, CEO of Pantera Capital and chairman and investor of Bitstamp commented, “Luxembourg recognizes the economic potential of bitcoin and blockchain technology. It has set an example for other nations to embrace the industry after having conducted heavy due diligence of the technology and of Bitstamp as a company. Bitstamp becoming the first nationally regulated bitcoin exchange is a historic achievement for digital currency.”
The firm explains it took a rigorous application process with the Luxembourg financial regulator (Financial Industry Supervisory Commission) spanning nearly two years, which included security reviews in addition to an audit by Ernst & Young.
“We have put a lot of time and resources into the regulatory process with the goal of ensuring customers feel more confident in using Bitstamp’s exchange and products […]
