Key Highlights Kraken is pursuing comprehensive banking authorization in Europe, with Lithuania identified as the target jurisdiction Success would make Kraken the sole cryptocurrency exchang
Kraken, a leading global cryptocurrency exchange, is actively pursuing full banking authorization within Europe. According to sources with knowledge of the matter, the platform has set its sights on Lithuania as the preferred location for this regulatory milestone.
Crypto exchanges are no longer trying to stay outside banking.
Kraken is reportedly pursuing a full banking license in Europe, with Lithuania in focus.
If approved, it would push crypto infrastructure closer to traditional finance rails, where custody, payments, settlement, and… pic.twitter.com/c9HGuy48aN
— Tork Labs (@Tork_Lab) July 8, 2026
When approached for comment, Kraken representatives declined to provide details. The Bank of Lithuania confirmed that all licensing procedures for financial institutions remain confidential under current regulations.
Should the application succeed, Kraken would break new ground as the inaugural crypto exchange to secure comprehensive banking authorization in Europe. This designation would enable the platform to provide services including checking accounts, consumer credit products, and enhanced payment capabilities throughout the European Economic Area.
The regulatory strategy Kraken is pursuing follows an established precedent. Revolut, the digital banking platform, successfully obtained specialized banking credentials from Lithuanian regulators in 2018. That authorization enabled Revolut to broaden its financial service offerings across the EEA. Lithuania has also granted banking or specialized banking licenses to institutions such as Mano Bank, PayRay, and EMBank.
Kraken maintains MiCA authorization issued through Ireland’s Central Bank. Additionally, the exchange operates under a MiFID license granted by Cypriot authorities. These regulatory frameworks enable the platform to deliver compliant services to customers throughout the European Union.
MiCA regulations became enforceable EU-wide on July 1, 2026. Kraken has leveraged its existing authorizations to establish itself as a compliant operator for European customers under the updated regulatory environment.
Securing banking authorization would represent a significant advancement. It would enable Kraken to integrate cryptocurrency operations more seamlessly with conventional financial infrastructure, encompassing payment processing, asset custody, and institutional-grade services.
The European banking initiative represents one component of a broader licensing approach by Payward, Kraken’s corporate parent.
In March 2026, Kraken Financial achieved a significant first by obtaining access to the Federal Reserve’s fundamental payment systems. This development granted its US banking division direct connectivity to Fedwire for specific operational functions.
In May 2026, Payward obtained VARA authorization in the United Arab Emirates, incorporating another regulated jurisdiction into its operational framework.
Kraken co-CEO Arjun Sethi addressed attendees at Money 2020 Europe and detailed the company’s strategic vision. He indicated that the organization’s ten-year roadmap involves securing regulatory licenses across all major regions, either through acquisition of established entities or building operations from the ground up.
Kraken is additionally preparing for a public listing in the United States, creating additional incentive to establish a robust regulatory compliance record across key international markets.
The Lithuanian banking license, if obtained, would constitute one of the most significant achievements in this regulatory expansion. It would provide Kraken with direct access to traditional European banking infrastructure and position the exchange ahead of competitors regarding regulatory breadth.
Neither an application timeline nor anticipated approval date has been publicly disclosed.
The post Kraken Pursues European Banking License in Lithuania appeared first on Blockonomi.
