- Sygnum, a Swiss-based digital asset banking group, recently announced a milestone in its European expansion efforts.
- The company registered its subsidiary with Liechtenstein’s financial regulator, the FMA, enabling it to offer a suite of regulated digital asset services in the market.
- Martin Burgherr, Sygnum’s Chief Clients Officer, emphasized the significance of this move, particularly in light of the upcoming Markets in Crypto-Assets Regulation (MiCA).
Sygnum expands into Liechtenstein, leveraging harmonized EU regulations to offer regulated digital asset services across the EEA.
Strategic Expansion into Liechtenstein
Sygnum has announced its registration with the Liechtenstein Financial Market Authority (FMA), marking a significant step toward its European expansion. This registration enables the bank to provide regulated digital asset services, including brokerage, custody, and B2B banking, to the Liechtenstein market. The move also allows Sygnum to leverage Liechtenstein’s harmonized regulations with the EU, facilitating broader access to markets within the European Economic Area (EEA).
Compliance with MiCA Regulations
By establishing a presence in Liechtenstein, Sygnum is positioning itself to fully comply with the upcoming Markets in Crypto-Assets Regulation (MiCA). This regulation is set to harmonize the European Union’s approach to crypto-assets, providing a uniform framework for digital asset services across all EEA member states. With the expected full access to 30 markets by early 2025 under MiCA, Sygnum is poised to significantly expand its footprint in the European digital asset space.
Benefits of Liechtenstein’s Regulatory Environment
Liechtenstein is part of the EEA, an economic region that includes EU member states and three countries—Liechtenstein, Norway, and Iceland—that follow EU laws while maintaining independence from direct EU membership. This unique position allows Sygnum to operate under EU-aligned regulations while benefiting from Liechtenstein’s innovative approach to finance and digital assets. Martin Burgherr highlighted this strategic advantage, noting that Liechtenstein’s regulatory framework is conducive to the growth and development of digital asset services.
Implications for the EEA Market
The registration with the FMA not only underscores Sygnum’s commitment to complying with rigorous regulatory standards but also sets the stage for expanded operations within the EEA. This strategic move is expected to facilitate smoother entry into other European markets, thereby broadening Sygnum’s customer base and enhancing its service offerings. With the implementation of MiCA, Sygnum will be well-positioned to navigate the evolving regulatory landscape and capitalize on new opportunities within the region.
Conclusion
Sygnum’s expansion into Liechtenstein marks a pivotal moment in its European growth strategy. By aligning with Liechtenstein’s regulatory framework and preparing for MiCA, the bank is set to offer its regulated digital asset services to a wider market. This development not only underscores Sygnum’s commitment to compliance and innovation but also positions it for significant growth within the EEA.
