Paymonade, a Singapore‑founded crypto firm, secured a MiCA license as a VADU provider in the European Economic Area while roughly 90 % of European crypto firms failed to meet the new rules
Executive summary: Paymonade announced it has obtained a VADU license under the EU’s MiCA regulation, joining 280 authorised firms across the EEA. The license gives Paymonade a regulatory edge in a market where about 90 % of European crypto companies have not complied, potentially driving client shift and market consolidation.
Who is involved: Paymonade (Damoon Technology Europe AG), EU regulators overseeing MiCA, Liechtenstein Financial Market Authority (as VADU issuer)
Likely next: Paymonade will need to renew its MiCA authorization annually; the next renewal deadline is July 2027., The firm may begin marketing its compliant services to EU‑based crypto clients in the second half of 2026.
Paymonade, the Singapore‑founded crypto firm operating as Damoon Technology Europe AG, has obtained a Markets in Crypto‑Assets (MiCA) licence as a VADU provider for the European Economic Area. This places it among the roughly 280 entities that have satisfied the EU’s new crypto‑asset rules, while about ninety percent of European crypto firms have so far been unable to meet the same threshold. The licence confirms that Paymonade has complied with stringent requirements on capital, governance, consumer protection and anti‑money‑laundering controls that MiCA imposes on service providers. The outcome underscores the filtering effect of MiCA on the market: compliance is becoming a differentiator that can grant licensed firms clearer access to EEA investors and partners, whereas non‑compliant operators face restrictions or the need to withdraw. For Paymonade, the licence may translate into a competitive edge in attracting institutional clients who prefer regulated counterparts, potentially expanding its client base and revenue streams within the region. In the near term, we can expect other crypto businesses to accelerate their own licensing efforts or consider consolidation to survive under MiCA. Paymonade’s early authorisation could also prompt it to broaden its product suite—such as custodial services or token issuance—within the limits of its VADU permission, shaping how the EEA crypto landscape evolves as the regulatory regime beds in.
Timeline
- — Das von einem Singapurer gegründeten Unternehmen Paymonade erfüllt die europäischen Krypto-Vorschriften -- während rund 90 % der europäischen Krypto-Unternehmen daran scheitern (PR Newswire)
Analysis — what this means
Sectors affected
- Cryptocurrency services
- FinTech
- EU digital asset market
Regulatory implications
- MiCA requires crypto‑asset service providers to obtain VADU authorization to operate in the EEA; Paymonade secured this license.
- Non‑compliant firms face potential restrictions on providing crypto services in the EU under MiCA.
Historical parallels
- Similar to the GDPR rollout in May 2018, when firms needed to achieve compliance or face penalties.
- Comparable to the PSD2 implementation in January 2018, which mandated licensing for payment service providers.
Key entities
Sources
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INTELLIGENCE
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AI estimate · not scraped