HOW TO GET A MICA LICENSE IN THE EU: STEP-BY-STEP GUIDE (2025)

How to Get a MiCA License in the EU: Step-by-Step Guide (2025)

How to Get a MiCA License in the EU: Step-by-Step Guide (2025)

Blog Article

With the introduction of the Markets in copyright-Assets Regulation (MiCA), the European Union has become the most clearly regulated copyright zone in the world. If you're planning to launch a copyright exchange, wallet service, token project, or any other copyright-asset service in the EU, you’ll likely need a MiCA license.


In this article, we’ll walk you through a step-by-step process to obtain your MiCA license—covering application requirements, documentation, timelines, and insider tips to help you navigate the process successfully.



What Is a MiCA License?


The MiCA license is a legal authorization issued to copyright-Asset Service Providers (CASPs) who want to operate in the European Union. It’s part of the EU’s MiCA Regulation, which aims to create a single, harmonized framework for the copyright industry across all 27 member states.


Unlike traditional financial licenses that vary country by country, the MiCA license offers passporting rights, meaning you can serve customers across the EU with a single authorization. It’s ideal for companies seeking legal clarity, operational scale, and long-term credibility.



Who Needs a MiCA License?


MiCA applies to most types of copyright businesses. If you’re involved in any of the following services within the EU, you will likely need a license:





  • Operating a copyright exchange




  • Offering custodial wallet services




  • Issuing copyright-assets (such as utility tokens or stablecoins)




  • Providing copyright trading, investment, or advisory services




  • Facilitating token sales (ICOs, IDOs, etc.)




  • Providing portfolio management of digital assets




If you’re unsure whether your business falls under these categories, it’s best to consult a legal expert, because operating without a MiCA license will become illegal once the law is fully enforced in 2025.



Step-by-Step Guide to Getting a MiCA License


1. Choose Your EU Member State


Although the MiCA license is valid across the entire EU, you must apply through one specific member state, which will act as your “home regulator.” You should choose your jurisdiction based on factors like:





  • Local regulatory flexibility




  • Availability of copyright-friendly banks




  • Speed of application processing




  • Language support and infrastructure




Popular jurisdictions for applying include Lithuania, Estonia, France, and Germany, each offering different advantages.



2. Establish a Local Legal Entity


To apply for a MiCA license, your company must have a registered legal presence in the EU country you’ve selected. This typically involves:





  • Registering a company (e.g., UAB in Lithuania or GmbH in Germany)




  • Renting an office or having a virtual headquarters




  • Appointing local directors or compliance officers




  • Opening a bank account in that country




You’ll also need to ensure that the company complies with local commercial laws and tax obligations.



3. Appoint Key Personnel


One of the most important parts of your application will be the management structure of your copyright business. Regulators will examine:





  • The background and expertise of your directors and founders




  • The qualifications of your compliance officer, MLRO (Money Laundering Reporting Officer), and other key roles




  • Whether your staff understands EU-level AML/CFT rules




Keep in mind, these individuals must often reside in the EU or spend a significant portion of time operating within the country of registration.



4. Prepare Your Internal Documentation


This is where the bulk of your work will be. You’ll need to draft a series of policies, procedures, and technical documents that describe how your business will comply with MiCA.


Typical documents include:





  • AML/CTF Policy: Anti-money laundering and counter-terrorism financing measures




  • Risk Assessment Report: Evaluation of business risks and how you will mitigate them




  • Business Plan: Description of services, target markets, financial forecasts, and operational models




  • Security Policy: How you will protect user data, digital assets, and IT infrastructure




  • Customer Due Diligence Procedures: KYC onboarding flows, identity checks, transaction monitoring




  • Governance Framework: Roles and responsibilities within the company




These documents need to be thorough and up-to-date, reflecting not only the law but also industry best practices.



5. Submit the Application to the Regulator


Once all your documentation is ready, your legal team will submit your application to the relevant National Competent Authority (NCA) of the country where you're applying.


The application package generally includes:





  • Corporate documents (company formation papers, shareholder info)




  • Proof of local presence (office lease, contracts)




  • Details of your copyright services




  • Profiles of company directors and key staff




  • Your full policy and procedure pack




At this stage, the regulator may begin conducting fit-and-proper checks on your leadership team.



6. Respond to Regulator Requests


After submission, the regulator will review your file and most likely send you questions or clarification requests. This is a standard part of the process. You’ll need to answer promptly and possibly revise your documents.


Expect them to ask:





  • How you’ll identify and report suspicious transactions




  • What cybersecurity measures are in place




  • How you’ll segregate client funds




  • How you’ll ensure stablecoin reserves (if applicable)




Staying responsive and transparent will help you move through this phase quickly.



7. Wait for Approval


Approval timelines vary based on the country and complexity of your application. On average, you can expect:





  • 3 to 6 months for most jurisdictions




  • Faster for straightforward applications with experienced advisors




  • Delays possible if documents are incomplete or if staff lack experience




Once approved, you’ll receive authorization to operate under MiCA, with passporting rights across the EU.



8. Maintain Ongoing Compliance


Getting the license is only the beginning. Under MiCA, you’ll be required to:





  • Submit regular compliance reports




  • Undergo audits or inspections




  • Keep policies updated as laws evolve




  • Continue conducting AML training




  • Protect users through strong security and risk management




Failing to meet these obligations can result in fines, license suspension, or even revocation.



Final Tips for a Successful MiCA Application




  • Hire experienced compliance professionals early in the process. Regulators give priority to teams that understand EU law.




  • Document everything. Regulators want to see your systems, not just promises.




  • Choose your legal jurisdiction wisely. Some countries are more copyright-forward than others.




  • Be transparent. Trying to hide or skip requirements will only slow you down.




  • Start early. Demand for MiCA licenses is expected to surge in late 2025.





Conclusion


The MiCA license is a game-changer for copyright regulation in Europe. It offers not only legal certainty, but also EU-wide access, consumer trust, and institutional legitimacy. Whether you're launching a startup or scaling a copyright empire, getting licensed under MiCA is the smartest step forward.


Though the process is detailed and demanding, the rewards are clear: compliance, growth, and long-term success in the world’s most regulated copyright region.

Report this page