Banks double MiCA provider share to 23% on ESMA register
In brief
- Banks doubled presence on ESMA's MiCA register to ~80 providers between June 26 and September 16
- Bank share of crypto-asset service providers rose from 17% to 23% in three months
- German cooperative and commercial banks drove expansion, including Volksbank and Raiffeisenbank
- Banks use Article 60 MiCA notification; crypto firms require full CASP authorization
Banking surge reshapes MiCA landscape
The number of banks on the EU's MiCA crypto provider list doubled to about 80 from roughly 40 between June 26 and September 16. Over the same period, the overall number of listed crypto-asset service providers rose from 243 to 349. This means banks expanded much faster, increasing their share from around 17% in late June to nearly 23% in September.
The expansion came at the expense of non-bank providers. Non-bank providers lost ground in relative terms, with their share falling from about 84% to 77%.
Germany leads the charge
Germany drove much of the banking expansion, with dozens of cooperative and commercial banks appearing on ESMA's MiCA register. Germany's additions include numerous Volksbank, Raiffeisenbank and VR Bank institutions. The regional banks' entry signals a broader shift toward crypto adoption among Europe's traditional financial system.
Deutsche Bank exemplifies this trend. Deutsche Bank, Germany's largest lender, announced plans to launch digital asset custody services for institutional and corporate clients in Europe. The bank is moving fast on regulatory approval.
"A Deutsche Bank spokesperson told Cointelegraph that the bank expects to receive regulatory approval for the offering under MiCA in October."
Why banks can move faster
The regulatory structure explains banks' rapid entry. Unlike crypto companies that must apply for CASP authorization, banks can provide crypto services under MiCA through a separate notification procedure. Under Article 60 of MiCA, a credit institution may provide crypto-asset services if it submits the required information to its home regulator at least 40 working days before providing those services.
This lighter-touch approach creates a competitive advantage. Banks leverage existing regulatory relationships and infrastructure while crypto-native firms navigate a more rigorous approval process. The gap is widening as traditional lenders see crypto custody as a new revenue stream.
Frequently asked questions
Why can banks enter MiCA faster than crypto companies?
Banks can notify regulators under Article 60 of MiCA with a 40-day notice period, bypassing the full CASP authorization process that crypto-native firms must complete. This lighter-touch approach leverages banks' existing regulatory relationships.
Which countries are driving the banking expansion on MiCA?
Germany is leading the charge, with dozens of cooperative and commercial banks including Volksbank, Raiffeisenbank, and VR Bank institutions entering the register since June.
