Key Takeaways
- CEO emphasized the importance of starting operations in areas where there is traction and interest from clients.
- Bitvavo secured regulatory clearance to offer its services in Austria and expanded into Italy in 2022
Netherlands-based cryptocurrency exchange Bitvavo has received regulatory approval from France’s Autorité des Marchés Financiers (AMF) to operate as a digital asset service provider, paving the way for the platform to extend its services to French users.
This development comes shortly after Bitvavo successfully secured regulatory clearance to offer its services in Austria and expanded into Italy in 2022, signaling the exchange’s strategic focus on gradual expansion into key European markets.
CEO Mark Nuvelstijn expressed enthusiasm about the registration with the French AMF, considering it a pivotal moment for Bitvavo. The exchange, which currently serves around 1.5 million customers in the Benelux region, aims to introduce its consumer-focused offering to the French market, tapping into the growing interest in cryptocurrencies among French investors.
A notable trend highlighted by Bitvavo is the increasing ownership of cryptocurrencies among French citizens. According to a recent AMF survey, 9% of French investors own cryptocurrencies, surpassing the ownership of conventional stocks (7%) and bonds (2%). This trend aligns with the exchange’s strategy of measured expansion into markets where there is a substantial interest in its services.
Bitvavo’s cautious approach to expansion aligns with its CEO’s emphasis on focus and step-by-step growth. Nuvelstijn believes that attempting to cover all of Europe simultaneously can lead to failure, emphasizing the importance of concentrating efforts where there is traction and interest from clients.
The exchange is also mindful of the upcoming European Union’s Markets in Crypto-Assets (MiCA) regulations, set to be implemented in stages through 2024. Nuvelstijn sees the harmonization of regulations across the European market as a positive development, stating that it will raise the bar of requirements for businesses, fostering maturity in the sector. MiCA regulations are expected to simplify cross-border operations, eliminating the need for individual licenses in each country.
Bitvavo’s expansion into France mirrors the broader trend of cryptocurrency exchanges and services providers establishing a presence in the country. Notable players like Société Générale and Bitstamp have obtained licenses to offer cryptocurrency services in France, while Binance continues to operate within the country.
