Damex Digital Ltd has been authorized under the Markets in Crypto-Assets (MiCA) framework by the Malta Financial Services Authority. This grants the company Tier-1 status in Europe, supporting its offering to institutional clients seeking regulated digital asset infrastructure.
Damex announced that it has obtained MiCA authorization as a Crypto Asset Service Provider (CASP) from the Malta Financial Services Authority, a milestone that places it within a relatively small group of regulated entities in Europe.
According to the press release, the company is one of approximately 148 authorized CASPs in the region and is among the 59 that are permitted to provide both custody and exchange services, a key combination for institutional clients.
The company also highlighted that its case is unique within this group, as it combines MiCA authorization with a Gibraltar DLT license, valid since 2017. This dual authorization, Damex explained, allows it to operate under a multi-jurisdictional supervisory framework, which it considers a significant differentiator compared to other providers that rely on a single regulatory framework.
In operational terms, Damex emphasized that MiCA CASP imposes more stringent standards in capital, governance, and risk management. This is further complemented by alignment with PSD2 for payments, AMLD5 for anti-money laundering, and DORA for operational resilience—a set of regulations that aims to bring its controls closer to those of large, traditional financial institutions and reduce the regulatory exposure of its counterparties.
Scope of the license for Damex and market analysis
From Damex’s strategic perspective, the MiCA authorization enables the provision of regulated services centrally throughout the European Union, without the need for multiple national licenses. Within this framework, the firm outlined a broad range of potential products, including international payments with stablecoins, corporate IBANs, bulk payments and payroll in crypto, crypto-enabled invoicing, treasury management, and performance solutions.
Damex identified its target audience as banks, payment service providers, FX and remittance companies, iGaming businesses, and other VASPs that prioritize regulatory certainty. The company stated that it is already in a final pre-operational phase and invited early engagement from institutional players interested in building relationships under the MiCA umbrella.
However, the market typically distinguishes between obtaining a license and its actual implementation. The transition from authorization to full operations involves deploying the capital, governance, and technology controls required by MiCA and DORA. Damex’s ability to convert initial interest into actual cash flows will be key to validating the announcement.
In this context, market participants should closely monitor Damex’s exit from its pre-operational phase and the pace at which it onboards institutional counterparties.
