- Hyphe obtained the MiCAR license from BaFin, centralizing its regulated digital asset liquidity services in Germany.
- The company will use the EU passport to quickly expand its liquidity provision services across all of Europe.
Hyphe, a liquidity provider for digital assets, announced on November 26, 2025, that it has achieved a major regulatory milestone by receiving the MiCAR license from Germany’s Federal Financial Supervisory Authority (BaFin). This license solidifies the company’s commitment to regulatory compliance and completes a restructuring process that began in 2021 to centralize all regulated activities within the newly established Hyphe Markets GmbH in Germany.
Regulatory Foundation for Growth
By obtaining the MiCAR license, Hyphe is now bound by clear, EU-wide supervisory standards. Chief Operating Officer Claus Huth noted that it will provide banks, brokers, and asset managers with “uncomplicated and secure access to liquidity for digital assets.”
This is not Hyphe’s first regulatory success; the company secured its status as an investment firm in 2023, holding a WpIG license for MiFID II-relevant transactions. Hyphe also recently announced the development of a Bitcoin-based tokenized security, the Hyphe Bitcoin Bond.
Looking Ahead: Pan-European Services
Co-Founder and CEO Dolf Diederichsen stated that the MiCAR license is a significant step in the company’s long-term strategy of aligning its structure for “sustainable expansion into European markets.”
With its regulated activities now bundled in Germany, Hyphe plans to use the EU passporting mechanism to roll out its liquidity provision services and products across the rest of Europe. The company’s customer care and product development are centrally managed from Munich, with support from international teams in Berlin and Amsterdam.
About Hyphe: Hyphe provides financial institutions with access to digital asset liquidity via a proprietary API-accessible liquidity pool. It is regulated by BaFin as an investment firm authorized for proprietary trading and principal transactions.
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