Since 1 July 2026, the EU’s transition from national crypto registration regimes to MiCA authorisation has entered its final stage. For exchanges, custodians, brokers and advisory platforms, a CASP License is now the standard route for providing regulated crypto-asset services across the EU: one authorisation, granted by a national regulator, with passporting rights across the bloc. This guide explains what the license covers, who needs it, what it costs, how long authorisation can take, and what changes once a company is authorised.
What Is a CASP License?
A CASP license is the authorisation a company needs under Regulation (EU) 2023/1114 — the Markets in Crypto-Assets Regulation, known as MiCA — to provide regulated crypto-asset services in the European Union. CASP stands for Crypto-Asset Service Provider, and the framework covers exchanges, custodians, brokers, trading platform operators and advisory firms, depending on the services they provide.
MiCA authorises companies service by service: an applicant lists the crypto-asset services it intends to provide, and the authorisation covers those approved activities. A national competent authority in the EU member state where the company is established grants the authorisation, which can then be passported across the EU under MiCA’s notification framework.
That structure replaces much of the patchwork of national registrations that governed crypto businesses before MiCA became applicable, including regimes such as Estonia’s VASP registration and France’s PSAN framework.
Legal Framework and Why the Deadline Matters
MiCA entered into force in June 2023, and the CASP authorisation regime became applicable from 30 December 2024. Companies already providing crypto-asset services under national law before that date could continue operating under transitional arrangements set out in Article 143, with member states able to determine their own grandfathering periods within MiCA’s limits.
By 2026, businesses can no longer assume that an old national VASP or equivalent registration remains sufficient for providing services covered by MiCA. Firms relying on transitional arrangements need to assess their status against the applicable deadline in their jurisdiction.
New market entrants do not benefit from those legacy transitional arrangements and need the appropriate authorisation before providing services that fall within MiCA’s CASP regime.
Who Needs a CASP License?
MiCA groups crypto-asset activity into ten defined services under Article 3(1)(16): custody and administration of crypto-assets, operating a trading platform, exchanging crypto-assets for funds, exchanging crypto-assets for other crypto-assets, execution of orders, placing of crypto-assets, reception and transmission of orders, advice on crypto-assets, portfolio management, and transfer services.
A company professionally providing one or more of these activities may require CASP authorisation when its services fall within MiCA’s scope. A firm does not need to operate a full exchange to be covered; providing a single regulated service, such as custody, can be sufficient.
Certain financial institutions already authorised under other areas of EU financial law can follow a different framework under Article 60 for specified crypto-asset services, subject to the applicable notification requirements.
Services provided in a fully decentralised manner without an intermediary can fall outside MiCA’s scope, although whether a particular protocol qualifies depends on how the service actually operates.
Capital and Key Requirements
MiCA establishes three tiers of minimum capital depending on the services provided.
Class 1, at €50,000, covers services including execution of orders, placing, transfer services, reception and transmission of orders, advice, and portfolio management.
Class 2, at €125,000, includes custody and administration of crypto-assets and exchange of crypto-assets for funds or other crypto-assets.
Class 3, at €150,000, includes operation of a trading platform.
Where a company provides services across different classes, the applicable prudential requirement reflects the highest relevant category. MiCA also links prudential safeguards to fixed overheads, meaning the fixed minimum is not always the only figure that matters.
Beyond capital, an applicant needs an appropriate EU establishment, suitable management, documented governance and conflict-of-interest policies, risk controls and ICT arrangements consistent with the regulatory requirements applicable to its business, including DORA.
How to Obtain a CASP License
The process starts before the application is filed. A company establishes its EU structure, determines which of the ten services it intends to provide, and prepares the application required under Article 62. This includes a programme of operations, governance documentation, risk-management arrangements, AML controls and evidence that the applicable prudential requirements are met.
The choice of home regulator matters because the national competent authority granting the authorisation remains the firm’s home supervisor. Applicants therefore consider factors such as their actual establishment, business structure, existing operations and regulatory requirements when deciding where to apply.
SBSB Fintech Lawyers, which has offices in Prague and Tallinn, advises applicants on CASP authorisation across the EU and helps businesses assess these factors before filing.
MiCA establishes procedural deadlines for regulators to assess the completeness of an application and reach a decision. Requests for additional information can affect the review process.
In practice, the full authorisation project can take longer than the formal statutory review period once preparation, pre-application work and exchanges with the regulator are included.
Once authorised, a CASP can use MiCA’s passporting framework to provide its authorised services in other EU member states after completing the required notification procedure.
Cost of a CASP License
The cost of CASP authorisation has several components.
The prudential requirements described above start at €50,000 and rise to €125,000 or €150,000 depending on the services provided. These are regulatory capital requirements, not application fees.
National application fees vary by regulator. Legal and advisory costs also depend heavily on the complexity of the business, services requested and the company’s existing compliance infrastructure.
The application itself can require substantial work, including the programme of operations, governance framework, AML procedures, risk controls and ICT documentation.
Applicants should also account for ongoing costs after authorisation, including compliance personnel, AML systems, governance and DORA-related operational resilience.
Compliance After Authorisation
Authorisation carries ongoing obligations. CASPs remain under supervision by their home regulator and must maintain the governance, prudential safeguards, AML controls and ICT arrangements applicable to their activities.
ESMA maintains a central register containing information on authorised CASPs. That register provides an important reference point for checking whether a provider holds MiCA authorisation.
Legacy national registrations should not be treated as substitutes for CASP authorisation once the transitional basis for relying on them has expired.
How SBSB Fintech Lawyers Can Help
SBSB Fintech Lawyers advises crypto-asset businesses on licensing across multiple jurisdictions, including CASP authorisation under MiCA in the EU.
We help clients assess which services require authorisation, structure the EU entity, prepare the programme of operations and supporting policies, and manage the regulator’s review through to authorisation and passporting.
Our crypto and MiCA team also advises on ongoing compliance after authorisation, including AML programme updates and DORA-related ICT requirements.
Contact SBSB Fintech Lawyers for tailored advice on CASP authorisation and EU market entry.
FAQ About CASP Licenses
What Is a CASP License?
A CASP license is the authorisation required under MiCA for businesses providing regulated crypto-asset services within its scope. Depending on the services authorised, this can include custody, exchange, trading platform operation, advice and portfolio management.
Who Needs a CASP License?
Businesses professionally providing one or more of the crypto-asset services defined by MiCA may require CASP authorisation when those activities fall within the regulation’s scope. This can include exchanges, custodians, brokers, trading platforms and advisory businesses.
How Much Does a CASP License Cost?
MiCA’s minimum prudential requirements range from €50,000 to €150,000 depending on the services provided. Application, legal, compliance and operational costs vary by jurisdiction, business model and the complexity of the application.
How Long Does It Take to Get a CASP License?
MiCA establishes statutory stages and deadlines for regulatory review, but the complete authorisation project can take longer once preparation, regulator questions and additional information requests are included.
Does a CASP License Cover the Whole EU?
A CASP authorised in one EU member state can use MiCA’s passporting framework to provide its authorised services in other member states after completing the applicable notification process.
Can a Non-EU Company Obtain a CASP License?
A non-EU group seeking CASP authorisation needs an appropriate EU establishment that meets MiCA’s requirements. The appropriate structure depends on the company’s business model and circumstances.
Is the MiCA Transitional Period Still Open?
Businesses should not assume that legacy national VASP or equivalent registrations continue to provide a basis for offering MiCA-regulated services. The applicable position depends on the relevant transitional deadline and the firm’s authorisation status.
What Happens to a Company Operating Without CASP Authorisation?
A company providing services that require CASP authorisation cannot rely on an expired transitional regime. Depending on its activities and jurisdiction, it may need to restrict unauthorised services and arrange an orderly transition for existing clients, while national authorities remain responsible for supervision and enforcement.
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