Crypto Assets Service Provider (CASP) License with MiCA Regulations
Whether you already operate a crypto business or only plan to launch one, be sure about one thing: navigating the fast-paced world of today’s market regulation is no longer optional; rather, it is essential. To enhance integrity in the digital asset landscape, the EU has recently implemented the Markets in Crypto-Assets Regulation (MiCA). Under its oversight, all Virtual Asset Service Providers (VASPs) are required to obtain a Crypto-Asset Service Provider (CASP) license. To establish and maintain your company’s compliance under the right license, make sure to consult with a team of experienced legal specialists. From the initial assessment to getting your full CASP authorization, they will help you benefit from the new opportunities in the evolving crypto economy in the EU.
Contents
- Understanding MiCA Regulations: Key Objectives
- CASP License Requirements
- Documentation and Application Process
- Benefits of Obtaining a CASP License
- What to Consider When Choosing a Lawyer for Your Licensing?
- Common Challenges in MiCA Licensing
- What Are the Best Countries for CASP License Adaptation in 2026?
Understanding MiCA Regulations: Key Objectives
As of early 2026, Markets in Crypto-Asset (MiCA) regulation is a fully operational, unified legal framework governing the crypto industry across all the 27 members states of the European Union. Its new guidelines came into force in December 2024, and since then, the regulation effectively ended the era of fragmented national rules, where crypto laws were inconsistent across the region, resulting in significant gaps in consumer protection and high compliance costs for international expansion. Besides MiCA’s definition, how is this new framework transforming the crypto market today? This EU-wide legislation takes practical steps towards building financial integrity in today’s market. With this purpose in mind, here are the specific objectives of this regulatory structure:
- Introducing standardized rules for issuing, offering, and trading cryptoassets across the European Union.
- Ensuring investor protection through transparent mandatory disclosure by crypto service providers.
- Promoting fair market competition between cryptoasset service providers and preventing market abuse.
- Implementing anti-money laundering (AML) and counter-terrorist financing (CTF) safeguards for regulating cryptocurrencies.
- Enhancing consumer protection and trust in the rapidly evolving and often volatile cryptoasset market.
Scope of MiCA Regulations
The EU MiCA regulation applies to a wide array of crypto-related activities, including:
- Public issuance and offering of cryptoassets.
- Operation of cryptoasset trading platforms.
- Exchange services between cryptoassets and fiat currencies.
- Custodial and administrative management of crypto assets on behalf of clients.
- Order fulfillment and advisory services related to cryptoassets.
Permitted Activities
One of the things that distinguishes MiCA crypto regulation from other frameworks as of 2026 is its classification of CASPs into three main categories and distribution of permitted activities across those. Notably, the scope of activities as well as the minimum share capital requirements increase with each category. Meanwhile, here is an overview of crypto-related services your company can provide, depending on what CASP class it belongs to:
Class 1
- Proceeding with client transactions
- Positioning of crypto-assets
- Facilitating orders for others
- Client-focused crypto-asset transfers
- Overseeing the clients’ crypto-orders
- Consulting regarding handling crypto assets
- Crypto-asset portfolio management
Class 2
- All crypto-asset activities that are permitted for Class 1
- Providing custody and administration of crypto-assets on behalf of clients
- Exchange of crypto-assets against funds
- Exchange of crypto-assets against other crypto-assets
Class 3
- All crypto-asset activities specified in Class 1 and Class 2
- Trading platform for crypto-assets services
To get more details about each CASP category, you can read through Annex IV of the MiCA Regulation, the official document that outlines the requirements for CASPs and services they are authorized to provide.
CASP License Requirements
Before speaking of the CASP license requirements, make sure you know whether your company is required to hold this type of permit. Overall, this license is mandatory for all businesses within the European Union that offer services related to crypto-assets, including the following:
- Exchanging cryptocurrencies for fiat money or other crypto-assets;
- Positioning of crypto-assets;
- Crypto-asset consulting;
- Storage and management of crypto assets on behalf of clients;
- Cryptocurrency transaction advisory services;
- Making payments using crypto-assets.
Not to mention, all companies that are already authorized as VASPs (Virtual Asset Service Providers) are required to undergo a reissuance to a CASP license under the new requirements. Companies that were launched before December 30, 2024, can only continue to operate if they apply for the CASP authorization by July 31, 2025. If the application is refused or not submitted, such companies will be required to cease dealing in crypto-assets after July 1, 2026.
Expenses and Charges Associated with the Crypto License Under MiCA
When it comes to planning your budget for the crypto license under MiCA, keep in mind that the associated pricing for the established and new companies’ licenses differ. In order to accurately calculate your expenses for the licensing, consult with legal professionals who will explain to you each part of the total costs associated with your application and documents.
Take a closer look at the first-year fees related to applying for your CASP license:
Set Up and First-Year Fees for an Established Company
| Included services & features | Cost |
|---|---|
| Initial consultation and compliance assessment | €4,000 |
| CASP application and compliance Documentation | €21,000 |
| Total: | €25,000 |
Set Up and First-Year Fees for a New Company
| Included services & features | Cost |
|---|---|
| Initial consultation and compliance assessment | €5,000 |
| CASP application and compliance Documentation | €28,000 |
| Total: | €33,000 |
Mandatory Compliance Criteria
Wondering how to get a CASP license in the EU in 2026? To successfully proceed with your authorization under Markets in Crypto-Assets regulations, companies must meet robust compliance requirements. In 2026, the core legal obligations for the applicants include the following:
- Registration of a local company in one of the member states within the EU.
- CASPs must have a physical office space in the jurisdiction of their authorization. While this requirement may vary across jurisdictions, virtual offices are generally not permitted.
- Strong internal policies, including Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) guidelines, ICT security policy, internal control and conflict of interest prevention policies, and preliminary enterprise-wide risk assessment policy.
- Assurance of data protection and cybersecurity procedures. Under MiCA, companies must enforce consistent and clear internal control policies for risk management, operational oversight, and corporate governance.
- The presence of qualified management that complies with fit and proper requirements. Namely, the key personnel must include a local AML Officer (MLRO), responsible for regulatory compliance. Keep in mind that at least one member of senior management must be a resident of your selected jurisdiction and meet the security requirements.
- Required share capital is set by the regulator, depending on the class of license. There are three categories of CASPS, depending on the scope of services they provide. The range of permitted crypto activities increases progressively with each class. Thus, the share capital is €50,000 for class 1, €125,000 for class 2, and €150,000 for class 3.
- Regular financial reporting to the regulator.
Also, keep in mind that the CASP license imposes high cryptocurrency regulatory requirements, which might be challenging for newly established companies. If your business is still at an early stage of development, you might be interested in alternative solutions for crypto licenses that offer more flexible conditions. Consider exploring other options with more favorable and streamlined regulatory conditions:
- MSB crypto license in Canada – a perfect choice for companies providing payment services and crypto exchange operations, and prioritizing an efficient, time-saving licensing process.
- Crypto license in Switzerland – ideal for businesses seeking strong regulatory protection and a high level of credibility under the Swiss Financial Market Supervisory Authority (FINMA) supervision.
- Crypto license in El Salvador – perfect for businesses looking to benefit from clear crypto regulations, zero capital gains tax on crypto, and strong government support for blockchain innovation.
Documentation and Application Process
The process of obtaining your license under MiCA in Europe is complex and includes multiple key steps. Here is an overview of what your CASP licensing journey will look like:
- The process begins with proceeding with your initial consultation and compliance assessment. The purpose of this step is to analyze your company’s structure and its MiCA compliance, as well as to assess the necessary documentation you will need to prepare before applying for the permit. The consultation and assessment process usually takes between 2 weeks and 2 months.
- Next comes preparing the complete set of documents, according to the MiCA requirements. At this stage, you will need to form the company’s charter documents, internal policies on Anti-Money Laundering (AML), data protection, and other necessary documents, which may vary depending on the jurisdiction you aim to operate in.
- Resumes of directors and beneficiaries with proof of their qualifications.
- A program of activities describing the services the company plans to provide.
- A professional liability insurance policy.
- A description of the corporate governance structure.
- A policy on outsourcing management.
- Documentation related to IT systems and security measures.
- Confirmation of the company’s compliance with legal requirements.
- Policy on segregation of client crypto assets and funds.
- Documentation regarding relationships with subsidiary companies.
- Information on the provision of cross-border services.
- Notification of planned cross-border activities.
- Whistleblowing policy.
- The company’s pricing policy.
- Non-discriminatory commercial activities policy (for CASP classes 2 and 3).
It typically takes from 1 to 3 months to prepare a full package of documents for licensing.
- Once all documentation is prepared, you can submit your formal application to the relevant regulator for revision. Your application will be carefully examined, and the regulator may request additional information or clarification or process with the background checks, which must be provided within a specified timeframe. This step might take from a few weeks to a few months, depending on the authority processing.
The total estimated timeframe from the initial consultation to filing the CASP application is under 5 months. Yet, remember that the licensing process does not end when you receive your CASP permit. Rather, it is significant that you maintain ongoing communication with the relevant authority to ensure that your company remains fully compliant.
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Benefits of Obtaining a CASP License
Securing your CASP license in Europe provides much more than just meeting legal obligations across the European Union. Rather, it gives your business official recognition under the MiCA crypto regulation, authorizing you to offer services in any EU member state without the need for additional registrations or licenses. Quick market entry, seamless scaling across borders, and less bureaucracy – these are just a few of the benefits you will enjoy with proper CASP licensing under MiCA oversight. Here is what else this permit will empower your company to achieve.
Comprehensive Legal and Compliance Documentation
Once your application is reviewed and granted a license, you will receive a set of official documentation confirming your company’s authorization to operate as a CASP under MiCA. Here is what you will get upon your licensing approval:
- First, the relevant regulator will send you an official authorization decision letter. It includes your company’s name and registration number, as well as the scope of services it’s now authorized to provide, according to the class of CASPs it belongs to. In addition, the letter contains the effective date of your license and regulatory reference number.
- You will also, of course, receive the CASP license itself. It presents a formal document certifying your business’s legal right to operate as a CASP. It includes your company’s name, license type, and the issuing authority’s signature or official seal.
- Besides the permit, you will get the license terms and conditions. In the form of an annex, it specifies the obligations your company must fulfill as a CASP under MiCA regulations and ongoing compliance requirements, including customer protection, AML policy, and reporting. It will also include information about specific restrictions or limitations for your venture if those apply.
- Also, you will receive the ESMA register listing for your company. This document confirms that your business is now added to the regulator’s public register of CASPs. The listing specifies your license number, authorized activities, the company’s name and address, and the date of authorization.
- You will also receive the access credentials for secure access to the AML supervision tools, regulatory reporting platforms, and notification systems for cross-border activities.
- Finally, the document package will contain the ongoing reporting timelines and guidelines. This document will specify the instructions for keeping your company compliant with MiCA in Europe and guidelines for reporting to the National Competent Authority (NCA) in your jurisdiction.
Enhanced Trust and Credibility
The entity’s CASP license compliance confirms that the company aligns with strict standards on AML/CTF, data protection, risk management, and more. This, in turn, establishes trust from your customers and business partners and improves the company’s reputation in the cryptoasset market.
Access to Broader Markets
The CASP license allows companies to legally provide services across the region, which significantly expands their potential customer base. Access to the single European market enables them to offer services across borders, opening up new prospects for scaling their business and increasing revenues.
What to Consider When Choosing a Lawyer for Your Licensing?
Navigating the fast-paced and constantly evolving crypto landscape can indeed be challenging, but one thing is certain: getting equipped with the end-to-end support from a dedicated team of legal specialists will make your licensing journey as clear, successful, and smooth as possible. From the initial compliance assessment and consultation to the final approval of your application, your authorization procedure will be taken care of with the right strategy. The expert legal advice will help you align each step of your application to the specifics of your business goals and the license requirements of your selected jurisdiction. Yet, how do you know which law firm to choose for such a complicated process as crypto licensing? Here are the key factors to pay attention to:
1. Comprehensive Licensing Services
Does the company you are considering offer a full range of services for obtaining a CASP license? Since crypto authorization under MiCA legislation is complicated and involves multiple crucial steps, you need to ensure that your legal partner provides end-to-end assistance from the very first day of your application to its final approval and beyond. The standard package of services should include legal advice, document preparation, and interaction with regulators at all stages of your CASP application. Whether you are looking to obtain a crypto license in Poland, the Czech Republic, or another EU Member State, the right expert team should thoughtfully assist you in securing your license quickly and efficiently.
2. Streamlined Application Process
Besides the wide range of licensing services, your trustworthy legal partner should also ensure your application procedure goes smoothly and without delays. In practice, it implies that the team of lawyers you consult with proactively navigates every detail of your licensing journey, from preparing all the paperwork and coordinating the interaction with the regulator to minimizing the processing time. The expert assistants will keep you updated about each compliance requirement and procedure to reduce the revision time and guarantee the success of your application.
3. Post-License Support
What happens to your company after obtaining the license? The final approval of your application is not the end of your project’s compliance maintenance. Rather, it’s essential to regularly renew your license and be sure your venture fully aligns with the latest updates in MiCA crypto regulation. Therefore, as you search for the top-tier legal advice, pay close attention to the firm’s long-term commitment to your success and, in particular, their post-license support. A trustworthy legal partner should offer ongoing, thorough assistance with reporting, compliance monitoring, and adapting to new regulatory requirements. This way, you can be sure that your business remains fully compliant and secure in the years to come.
Common Challenges in MiCA Licensing
As you already know, the unified MiCA framework unlocks new opportunities for your company’s scalable growth within the EU. However, these benefits come with the complexities of maintaining your license and navigating the regulatory obligations. Here are the most common challenges businesses face in today’s crypto-license landscape and effective solutions to them:
Regulatory Hurdles and How to Overcome Them
One of the major challenges in obtaining a CASP license is meeting the strict standards and regulations set by MiCA. Namely, to get their application approved, businesses must comply with AML/CTF policies, data protection, and corporate governance requirements. They must also demonstrate adequate IT security controls, operational continuity planning, and clear internal governance structures in line with Article 62 MiCA. For successful licensing, it is important to proactively develop a detailed compliance strategy and cooperate with legal advisors who specialize in the EU crypto regulation. Early planning and the timely expert guidance will turn regulatory barriers into milestones on your licensing journey.
Pitfalls in the Application Process
The application process involves the preparation of a large amount of documentation, from a comprehensive business plan and internal policies to documents supporting the company’s organizational structure. The most common issues at this step are incomplete application packages, incorrect information, or a lack of explanatory material. A solution is simple yet essential: thorough pre-filing review and maintaining clear and open communication with the regulator through the whole process. Failure to respond to regulator inquiries or delays in providing supplemental documentation can also lead to rejections or restarts. It will prevent the possibility of your application’s delay or rejection due to document-related mistakes.
Ensuring Long-Term Compliance
Obtaining your CASP license is just the first step. The new standards require companies to maintain compliance throughout the validity of the license. This includes regular reporting, internal audits, and updating AML/CTF policies in line with changes in MiCA legislation. CASPs are also expected to notify competent authorities of changes in operations, key staff, or outsourcing arrangements in a timely manner. Keep in mind that staying compliant in the long-term run demands strategic support. Therefore, partnering with compliance professionals will help your business’s operations stay aligned with the EU requirements, which will, as a result, prevent fines and build trust.
What Are the Best Countries for CASP License Adaptation in 2026?
Today, the European authorities like ESMA and EBA center their efforts on active supervision and enforcement rather than mere license issuance. With the crypto laws tightening and compliance standards becoming more robust within the Markets in Crypto-Assets (MiCA) framework, applying for a CASP license in a reputable jurisdiction is the best strategy. Why? The European patchwork of implementing MiCA regulations reveals that some countries adapt to the new crypto guidelines faster than others. This, in turn, impacts the business climate for crypto companies and the legal hurdles associated with applying for the CASP license in Europe.
How to Choose the Right Jurisdiction for Your CASP License in the EU?
Whether you plan to obtain your CASP license in Lithuania, the Czech Republic, Estonia, or any other EU member state, the authorization you receive will be valid across the entire European Union. It grants you immediate access to a dynamic market of over 450 million potential consumers.
And yet, the “home” jurisdiction you select for registering your company under the Markets in Crypto-Assets regulation still matters significantly as each country differs in its specific banking ecosystem, taxation, local substance requirements, licensing timeline, and other critical factors that might eventually impact your business growth. With each EU member state adapting to the new MiCA legislation at their own pace and applying their specific conditions for obtaining the CASP license, it’s essential to select the home country for your authorization that aligns with your business goals best.
For instance, the established firms prioritize countries with strict regulatory obligations, the robust compliance, and security standards for obtaining the CASP license. These aim to strengthen their long-term market presence by fulfilling the robust legal obligations provided in MiCA’s definition of safe and fair operations. Meanwhile, the startups tend to focus primarily on the licensing speed, lower entry barriers, and operational ease as the key criteria for selecting the jurisdiction where to get a CASP license in the EU.
Also, while the entire procedure for getting your CASP license in the Czech Republic might take under 5 months to complete, the licensing timeframe in Poland and Lithuania can be as short as 3 to 4 months in total. Therefore, as you look forward to securing your operations with proper authorization, make sure you see a big picture of the EU pathway towards the unified MiCA crypto regulation. So, what jurisdiction to choose for your crypto authorization?
1. Major Hubs with a Fast CASP License Procedure
If you look for efficiency in your licensing procedure and convenient ways to proceed with it seamlessly online, these are the top choices for you:
Lithuania
Overseen by the Bank of Lithuania, this jurisdiction provides one of the most efficient digital environments in all Europe today. The CASP license in Lithuania is the go-to for companies that integrate crypto with payment services and seek a fast-track transition from the former VASP registration to full compliance with MiCA regulations. Besides, as a leader in the digital financial space, Lithuania is praised for its mature ecosystem and ability to process high-volume applications fully digitally.
Poland
Obtaining your CASP license in Poland is another major fintech center with roughly 19% of the Polish population regularly using crypto-assets. Proceeding with your licensing here, you gain access to a vast EU market at a competitive price and get to launch operations in its trusted digital ecosystem. Besides, within the current MiCA legislation, the CASP license in Poland guarantees your business’s excellent standing in terms of compliance with latest robust crypto standards.
2. Accessible Entry Points, Best for Startups
Looking for a jurisdiction with a favorable climate for opening your company and efficiently securing your licensing? In this case, affordability and ease of authorization are likely to be your first priorities. Take a glance at these top-3 countries that offer low-barrier entry for the emerging businesses within the MiCA crypto regulation:
Czech Republic
With its business-friendly approach, the CASP license in the Czech Republic is a premier choice due to the Czech National Bank’s lower bureaucratic huddles and transparent obligations. For instance, unlike several Western European destinations, the CASP license in the Czech Republic Altogether, compared to authorization in Western European countries, the Czech CASP license remains attractive to startups that aim to start operations at the lower cost, higher speed, and in perfect compliance from day one.
Slovakia
Issued and supervised by the National Bank of Slovakia (NBS), the CASP licensing in this jurisdiction comes with low initial capital burdens, flexible resident management requirements, and tax efficiency. Moreover, the smaller entities benefit from a streamlined timeline of the CASP license in Slovakia, as the application revision typically takes between 1 to 2 months. Also, startups favor this jurisdiction as the NBS encourages the pre-licensing communication between the regulator and the applicants where they can refine the business model before the final submission, which, in turn, reduces the risk of rejection of their Slovakia CASP license application.
3. Regulatory Prestige, Best for Institutional-Grade Companies
For the established companies that seek to expand in the vast market evolving under MiCA in Europe, it’s crucial to adhere to the robust regulations in the reputable licensing destination. Here are the two reputable jurisdictions that provide trusted crypto environments for secure, legally excellent operations under the CASP license within the Markets in Crypto-Assets framework:
Estonia
With its robust standards for physical office space and local management, the CASP license in Estonia remains a highly respected European jurisdiction where crypto businesses thrive due to its strong Anti-Money Laundering (AML) policies and other security protocols. The strict compliance criteria of the Estonian licensing keep the initial barrier to the EU market high enough so that the established entities can securely launch and expand their operations without risks.
Spain
If your target is the large-scale global markets, make sure to take a closer look at the CASP license in Spain. Known for its stable and reputable framework overseen by the CNMV, Spanish licensing is the top-tier choice for increasing your company’s long-term credibility. Beyond associated institutional trust, the CASP license in Spain offers direct access to the EU’s most crypto-receptive populations, boasting a market projected to exceed $45 billion in 2026.
4. Emerging Innovative, Tax-Friendly Environment
Besides the popular, globally recognized jurisdictions, the growing number of emerging EU destinations for getting your CASP license offer competitive advantages for both opening your new company and further expanding it quickly and seamlessly under MiCA crypto regulation. If you’re wondering how to get a CASP license in the EU and keep up with today’s industry innovations, here are the choicest jurisdictions for you:
Portugal
More and more DeFi projects and Web3 developers favor the Portugal CASP license. Why? Due to its supportive and dynamic tech climate and a balanced approach to crypto taxation, this jurisdiction presents a top-tier choice for crypto businesses. It also offers exemption on long-term capital gains for crypto-assets held by individuals for more than a 1-year period, which is another reason why both established entities and early-stage investors choose to secure their CASP license in Portugal.
Bulgaria
Seeking a less popular yet quickly growing jurisdiction with an advantageous tax regime and operational ease? If so, Bulgaria is one of the best destinations for your licensing under MiCA in Europe. Low corporate tax rate (only 10%), flexible residency requirements, competitive administrative costs, and fast company formation are just a few benefits you get along with your authorization. In Bulgaria, the CASP license boosts the crypto companies’ operational security by emphasizing robust technical and cybersecurity standards.
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FAQ
What is the scope of MiCA in regulating crypto assets?
MiCA regulates the issuance, offering, and trading of cryptoassets within the EU. The regulation applies to crypto asset service providers (CASPs) providing the following range of services:
- Issuance and offering of cryptoassets
- Cryptoasset trading platforms’ operation
- Exchange between cryptoassets and fiat currencies
- Administrative and custodial management of crypto assets on behalf of clients
- Order fulfillment and advisory services related to cryptoassets.
How does the CASP license benefit crypto businesses in the EU?
A CASP license gives companies legal recognition in the EU, increases trust from customers and partners, and allows them to offer services in any EU member state without additional permits. Streamlined expansion in the market, new growth opportunities, and ensured security are just a few of the advantages you get with your CASP license under MiCA. Moreover, with our ongoing compliance support after you obtain your permit, you will secure your company’s legal authorization for the future and secure its place in today’s evolving crypto ecosystem.
What are the key steps in obtaining a CASP license?
The process of securing your CASP license under the new MiCA oversight is complex and involves several key steps. It starts with the initial consultation with our legal professionals and assessing your company’s compliance. Then, you will need to prepare the complete set of corporate documents, develop internal policies, and submit an application to the regulator for review. Also, make sure to stay in touch with the regulator in case of additional requests, and follow up on regulatory compliance. Finally, once your application is approved, you will officially receive your permit as well as the other official legal documents confirming your company’s authorization as a CASP. The entire process of obtaining your permit typically takes up to 5 months.
However, the licensing process does not end at this stage. Make sure to keep your business compliant with the EU standards throughout the entire duration of your permit’s validity. Our legal experts will guide you through every step of this important process as well as assist you in keeping up with any regulatory changes in today’s crypto market’s legislation.
