Digital assets

For companies handling digital assets, cryptocurrencies, and decentralized financial services via blockchain solutions, digital asset licences provide a premier model for operating within regulated jurisdictions. Key business models under this licence type include:

  • Cryptocurrency exchanges
  • Custodians
  • Wallet providers
  • Token issuers
  • Investment firms

Trends boosting the sector

Technological advancements

Blockchain technology, along with the rise of Non-Fungible Tokens (NFTs) and Decentralized Finance (DeFi), is transforming traditional financial services. These innovations spark new interest in digital assets, opening pathways for decentralized transactions and new forms of asset ownership.

Regulatory updates

Similar to payments and e-money services, digital assets come with inherent risks. Regulatory bodies are responding with specific frameworks that enforce stricter Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) requirements—essential for building trust in digital finance and safeguarding user interests.

Market drivers

With increased consumer interest in decentralized finance, blockchain solutions, and digital commerce, the market is uniquely poised for growth. Modern users and businesses are increasingly exploring digital assets as viable financial instruments, driving demand for regulated and secure services.

Several companies have set industry standards under digital assets licences

  • Coinbase: A prominent cryptocurrency exchange offering a secure platform for buying, selling, and storing digital assets for more than 115 million users and an annual transaction volume of $468 billion in 2023.
  • Binance: Known for its extensive range of digital asset trading options and user-friendly interface, the company generated $16.8 billion revenue in 2023, a 40% year-on-year increase. Additionally, Binance achieved an exchange volume of $3,445 billion in the same year.
  • Fireblocks: A leading provider of secure digital asset storage solutions, widely used by financial institutions. In 2023, the Fireblocks platform had an increase of 80% in monthly outbound volume ($53B), a 163% increase in the number of monthly outbound transactions (3.11M), and a 160% increase in monthly active wallets.