Crypto exchange Kraken is trying to become a bank in Europe

Kraken's focus is on Lithuania as the jurisdiction to secure the license, according to a person familiar with the plans.

Summary

Kraken would be following the same path as Revolut, which holds a specialized European banking license issued by the Bank of Lithuania in 2018.
Kraken’s plan is to acquire licenses over the next 10 years, either through acquisitions or by starting from scratch in each region, said CEO Arjun Sethi at a recent conference.

Kraken, the cryptocurrency exchange planning to go public in the U.S., is pursuing a full banking license in Europe, with a focus on Lithuania as the jurisdiction to secure it, according to a person familiar with the plans.

Ifthe firm gets the license, Kraken would be the only crypto exchange to have such a designation. It will also tread the same regulatory path as fintech major Revolut, which holds a specialized European banking license issued in 2018 and regulated by the Bank of Lithuania. This allowed Revolut to offer full current accounts, consumer lending, and stock trading across the European Economic Area (EEA).

Kraken declined to comment on the plans. A spokesman for the Bank of Lithuania said the licensing process of financial market participants is confidential.

Other fintech firms holding a banking or specialized bank license in Lithuania include Mano Bank, PayRay, European Merchant Bank (EMBank), AB Fjord Bank, and Saldo Bank.

The move to gain full banking status in Europe is part of a broader effort by Payward, Kraken’s parent company, to obtain additional licenses globally.

In March 2026, Kraken Financial became the first digital asset bank to gain access to the Federal Reserve’s payment infrastructure , making it the first crypto firm to operate on the same rails as traditional financial institutions. In May, Payward announced it secured a VARA authorization in the UAE.

In a recent talk at Money 2020 Europe, Kraken CEO Arjun Sethi mentioned the need for banking licenses, saying “the plan for the next 10 years is to get all of these licenses, either through buying an existing business, or going de novo in each region and starting from scratch.”

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