BaFin Says Nein: Bitcoin.de's MiCA Bid Hits Rejection, Trading Stuck in Limbo 🚧

Bitcoin Group SE is scrambling to chart a new course for its Bitcoin.de trading platform after Germany's Federal Financial Supervisory Authority (BaFin) rejected subsidiary futurum bank AG's application for authorization as a crypto-asset service provider under the European Union's Markets in Crypto-Assets Regulation (MiCA). The company disclosed the Oct. 6 decision in a public announcement, calling the refusal a setback but noting it had prepared for the possibility.

The group said it is now reviewing the decision and has the option to file an objection or submit a fresh application down the line. It is also working on ways to resume trading through regulated partners "as quickly as possible." CEO Moritz Eckert said the company's immediate focus is implementing an alternative operating model while keeping customers informed. "Our priority now is to implement the alternative operating model and to keep our customers transparently informed about the next steps," Eckert stated.

Bitcoin.de, operated by futurum bank AG, counts more than 1.1 million registered users. Originally launched as a peer-to-peer marketplace matching buyers and sellers, the platform was revamped this year to function as a brokerage offering more than 100 cryptocurrencies, crypto swaps and staking. The relaunch had been slated for late June but was postponed pending MiCA authorization.

Trading activity on Bitcoin.de has largely been suspended since June 12, and in an August update the company confirmed that customers' crypto holdings had been migrated to new custody infrastructure while the previous trading system was switched off. The platform now faces an indefinite wait as Bitcoin Group SE evaluates its next regulatory and operational moves.