London-based B2C2 joins Luxembourg’s VASP register amid EU regulatory shifts

London-based liquidity provider B2C2 has secured regulatory approval from Luxembourg’s Financial Sector Supervisory Commission (CSSF) to operate as a virtual asset service provider (VASP). 

Granted on Jan. 26 a new authorization enables B2C2 to expand its cryptocurrency liquidity services including over-the-counter (OTC) spot crypto services to institutional clients within the European Union.

With this approval, announced on Feb. 7, 2024, B2C2 becomes the twelfth entity officially registered on the CSSF’s public list.

The move comes at a critical time as the European Union gears up for the implementation of the Markets in Crypto Assets (MiCA) regulation. MiCA is set to establish the EU as the first major jurisdiction globally with a comprehensive regulatory framework for the cryptocurrency sector. 

B2C2’s strategic expansion into Luxembourg follows its recent acquisition of Paris-based Woorton in August of the previous year, which facilitated obtaining a license from France’s Autorité des Marchés Financiers (AMF).

Thomas Restout, the group CEO of B2C2, remarked on the importance of securing the VASP registration in Luxembourg, especially in light of the impending MiCA regulation. He noted Luxembourg’s growing virtual asset community and B2C2’s eagerness to contribute to its development.

Denzel Walters has been appointed to lead B2C2’s Luxembourg division, bringing his regulatory expertise from his tenure at the Bank of England and other financial institutions to the forefront of B2C2’s operations in Luxembourg.

The CSSF’s approval expands B2C2’s operational scope, enabling it to offer a wide range of exchange services between virtual assets and fiat currencies, thus broadening its capabilities in the digital asset market. This is expected to enhance B2C2’s offerings to its institutional client base, positioning the firm for greater participation in the evolving digital asset landscape.

The development follows B2C2’s recent introduction of a new secure web interface for its OTC cryptoassets traders. The feature allows for real-time execution of trades on a two-way market, facilitating immediate order execution for high-volume traders. This development is particularly beneficial for hedge funds, institutional investors, and high-net-worth individuals engaged in OTC cryptocurrency trading, offering advantages such as no slippage, faster settlement of large trades, and enhanced trading efficiency.