Yellow Card Gets Crypto License in Poland

Yellow Card, the pan-African crypto exchange, has been awarded a virtual asset service provider (VASP) license in Poland. The license, which took four months to acquire, allows Yellow Card’s enterprise customers in Poland and the EU to access its services on the continent.

However, Yellow Card confirmed to TechCabal that it does not intend to make its retail exchange services available in Poland as it is focused on only serving African consumers. Founded in 2016 and present in 20 African countries, Yellow Card allows customers to buy and sell cryptocurrencies and stablecoins. The exchange was awarded Africa’s first-ever crypto license in Botswana in September 2022.

Yellow Card joins another African crypto exchange, VALR, which also secured a VASP license in Poland. Europe’s wide crypto adoption, diaspora populations and friendly regulations have made it an attractive expansion avenue for African exchanges, with Luno also present on the continent. 

“Our VASP registration represents the first step in our journey to ultimately acquire a Markets-in Crypto Assets (MiCA) license to enhance our offerings between Africa and Europe further,” said Craig Stoehr, Yellow Card’s general counsel.

Although Africa has seen astronomical growth in the adoption of virtual assets including cryptocurrencies, regulatory hurdles have seen exchanges struggle to expand their services on the continent. As a result, exchanges on the continent have had to either exit or pause expansion plans into markets like Nigeria, Zambia, and Kenya.

With growth opportunities in Africa limited, Europe’s MiCA regulation enacted in 2023 presents a new market opportunity for African exchanges. With one MiCA license, a crypto entity will have access to 27 European markets comprising 450 million people, a significant scaling opportunity and a hedge against Africa’s unclear operating environment.

Previous Post Next Post