Number Two in the World – A massive crypto exchange is planning its EU headquarters in Vienna

The Austrian Financial Market Authority (FMA) expects that around twenty cryptocurrency companies will apply for a license in the coming months. The most prominent among them is probably Bybit. The Chinese platform has 50 million customers worldwide and is now the second largest crypto exchange in terms of trading volume. According to the company register, the company founded several companies in Austria in September, with headquarters in Vienna’s 22nd district. They are currently looking for an office with a central location.

A location and a “MiCAR license” in an EU country is a prerequisite to obtain a license for the entire EU market from 2025 and thus enable customers to trade various cryptocurrencies (Bitcoin, Ethereum, etc.). Applications have been possible since October 1. The FMA has received one license application so far, but more will follow.

Austria as a location for crypto giants
For this reason, US companies Coinbase and Kraken have already set up offices in Ireland. Why Bybit chooses Austria as its European headquarters? The domestic supervisory authority for the financial markets also has to deal with this. On the one hand, it is considered highly respected internationally, but on the other hand, it is also seen as open and with a measured approach when it comes to virtual currencies. The expertise in the crypto sector is very renowned.

Some crypto exchanges have previously tried to enter the market via the Baltic states or Malta, but the regulators there have a less good reputation. A license there is not highly regarded by regulators in other countries. “Austria has positioned itself well here and is trying to avoid mistakes from the past,” says expert and entrepreneur Georg Brameshuber of the “Digital Assets Association”. He is referring to the case of N26 – an online bank founded by Viennese people who years ago preferred Germany as its licensing location.

Chinese owner and CEO Ben Zhou is behind the trading platform Bybit. The company is now based in Dubai. Most recently, the platform was able to double its market share within a year and continues to grow rapidly. After Binance, Bybit is the largest platform in the world in terms of trading volume. The company has many professional traders as clients who trade through the platform. This means you appeal to a different target group than, for example, the Austrian company Bitpanda, which mainly sees itself as an entry-level platform.

International competition is increasing
It will probably take some time before Bybit receives a license for the European market. Accession should be successful in the course of 2025. However, the provider can already build on a customer base, because numerous non-European providers of online crypto services already have unregulated – i.e. unlicensed – users on the European market. The change, which makes it easier for crypto banks to access the market and therefore start selling, will intensify competition. This also means new competition for Austria’s top dog. Because Bitpanda, Europe’s leading cryptocurrency trading provider, comes from Vienna.

If Bybit were to establish itself in Austria, this would also significantly increase the attractiveness of the local location. This would mean that Bitpanda, the leading European crypto provider, and Bybit, the second largest exchange in the world, are both based in Vienna. “Austria is positioning itself as an attractive location for international leaders in the crypto space,” says Brameshuber. “This is an opportunity for Austria to be at the forefront of such a growing industry.”