Woofun AI reports that cryptocurrency exchange Kraken is allegedly pursuing a full European banking license, with Lithuania identified as the likely jurisdiction. Sources indicate ongoing discussions with Lithuanian regulators, though neither Kraken nor the Bank of Lithuania has confirmed the development. The Bank of Lithuania stated that licensing procedures are confidential by law, while a Kraken spokesperson declined to comment. A successful application would enable Kraken to offer custodial accounts, lending, and payment processing under a single regulatory framework, positioning it to compete directly with traditional banks. Lithuania’s established crypto-friendly licensing framework makes it a strategic choice for such expansion. This potential move occurs amidst increased global regulatory scrutiny, including the EU’s MiCA regulation. If realized, the license could set a precedent for other exchanges seeking regulated banking structures in Europe.

However, without official confirmation, the timeline and details remain unverified.