Coinbase, Kraken, OKX offer bonuses to attract EU users

Coinbase, Kraken and OKX are offering cash and deposit incentives to attract European Union customers who could lose access to services when the EU’s Markets in Crypto-Assets regulation (MiCA) takes effect on July 1.

Coinbase announced a 5% transfer bonus for users who move assets to its platform before July 13. OKX Europe announced an 8% bonus on new euro deposits. Kraken launched a €1.1 million prize draw tied to euro deposits. The promotions target users of platforms that failed to obtain or withdrew MiCA approvals.

MiCA requires firms that offer crypto services to EU-based users in the bloc’s 27 member states to hold a Crypto-Asset Service Provider (CASP) license from a national regulator. Companies without a CASP license must restrict services to users in the European Economic Area when enforcement begins on July 1.

Binance withdrew its MiCA application and will limit services for EU-based customers. Bybit Global announced that access for users in the EEA “will be progressively limited” starting July 1. Bybit EU operates under an Austrian licensee and is authorized to serve customers in the bloc.

As of Monday, national regulators had issued 244 CASP approvals. Germany’s Federal Financial Supervisory Authority, BaFin, accounted for about 57 of those authorizations. Greece, Hungary, Poland, Portugal and Romania had not issued any licenses as of last Friday.

As Bybit limits EEA services, it is expanding in the Middle East and North Africa. Derek Dai, head of Bybit for the Middle East and North Africa, spoke at a Tel Aviv event: “Our business strategy for MENA has been to differentiate marketing and business plans to make sure that each group of customers are well served.” He said the company is developing halal products for more conservative customers and derivative products aimed at younger traders in Morocco.

Exchanges that hold CASP licenses have promoted bonuses and deposit offers to users of unlicensed platforms in the days before MiCA enforcement. MiCA sets common rules for crypto-asset services across the EU, covering registration, conduct and governance rules as well as capital and operational requirements. Enforcement from July 1 will apply EU-wide to firms offering services to EU residents.