Kraken SEC settlement and MiCA authorization vs Coinbase and Gemini

Kraken maintains a compliant status in Europe through its MiCA authorization from the Central Bank of Ireland

The SEC charged Payward Ventures, Inc. and Payward Trading, Ltd. with the unlawful sale of staking services. Kraken agreed to pay a $30 million fine and must unstake assets for U.S. investors, yet the firm will delay unstacking ether until the Ethereum Network’s Shanghai upgrade takes effect. This settlement requires Kraken to cease offering the Kraken Staking Program to U.S. participants while non-U.S. investors face no changes to their service. The SEC alleged the program provided annual investment returns of as much as 21 percent, and by April 2022, U.S. investors held over $2.7 billion in the program. This program generated $147 million in net revenue for Kraken because the firm pooled participant assets to reduce transaction costs and risks. The SEC claimed investors lost control of staked tokens and received very little protection. You already know that regulatory shifts impact asset availability. In Europe, Kraken secured its MiCA license from the Central Bank of Ireland in June 2025 and expanded to all 30 EEA countries in August 2025. This expansion followed the July 1, 2026, MiCA deadline when only 17% of the 1,200 previously registered firms converted to full CASP authorization.

The SEC’s dismissal of its civil enforcement action against Coinbase on March 31, 2026, provides a reprieve for the exchange

This dismissal occurred as the agency dropped five separate cases against firms accused of market manipulation. Coinbase previously received a Wells Notice in March 2023 regarding its staking practices and exchange registration. The notice focused on whether assets listed on the platform met the four-factor Howey test to prove an asset is not an investment contract. Gemini Trust Company, LLC operates using a Limited Purpose Trust Charter granted in October 2015. Coinbase holds its MiCA license from the CSSF in Luxembourg since 2024 and launched MiFID-regulated crypto futures across 26 European countries in March 2026. Does the SEC’s pivot on enforcement indicate a permanent change in strategy?

Kraken provides the best value for traders seeking low fees and high asset variety

Kraken provides 530+ cryptocurrencies and 1,270+ trading pairs. Coinbase supports 270+ cryptocurrencies. Kraken remains the better choice for fee-sensitive EU traders despite its US staking restrictions, particularly as Kraken Pro charges 0.40% for makers and 0.80% for takers at its base tier. Coinbase Advanced charges 0.40% for makers and 0.60% for takers at its entry tier. Kraken’s security includes ISO/IEC 27001:2022 and SOC 2 Type 2 certifications, whereas Coinbase holds SOC 1 and SOC 2 Type II certifications. Kraken reported 2025 revenue of $2.2 billion, while Coinbase is a NASDAQ-listed company with $500 billion in audited customer assets.