Name
Global FinTech Guide
Country _ Name
Finland
SectionTitle
DLT and cryptocurrencies
Body
FinTechs belonging to this category offer financial services using crypto currencies. This category also includes FinTechs utilising blockchain and distributed ledger technologies (DLT) upon which Bitcoin and Ethereum are based, among others. FinTechs develop and do research in this field in order to create new services – e.g. crypto currency exchange markets, wallet providers, NFTs-related services, new payment services, "smart contracts" or new clearing and settling services.

Introduction

Attitude of the country towards financial services using crypto currencies

Finland’s attitude towards financial services using cryptocurrencies is both progressive and risk averse. Finland recognises the potential of crypto-assets but also values strong regulation to mitigate risks. Finland adheres to the European Union's Markets in Crypto-Assets (MiCA) Regulation, which governs the issuance, trading, and service provision of crypto-assets. Under MiCA, crypto-assets are not considered legal tender but are used for investment and payment purposes. Finland requires authorisation for crypto-asset service providers, ensuring a controlled and transparent environment for such services.

The Bank of Finland has also recognises the volatility and risks of global crypto markets, including market instability and reputational damage to companies involved incryptocurrencies. The Bank of Finland highlights concerns over rapid market changes and the potential linkages between crypto-assets and the traditional financial system. Despite these risks, there is interest in leveraging distributed ledger technology (DLT), both in permissioned and permissionless networks, for broader financial and public sector uses.

Overall, Finland’s approach emphasises regulatory oversight to build trust and minimise financial instability, while recognising the innovation potential of blockchain technologies.


Legal affairs

Obligations and requirements to provide financial services using crypto currencies described above

In order to provide financial services using cryptocurrencies in Finland, entities must comply with the Markets in Crypto-Assets (MiCA) Regulation. Key obligations and requirements are as follows:
Authorisation requirement: Any entity providing crypto-asset services in Finland must obtain authorisation from a regulatory authority, such as the Financial Supervisory Authority (FIN-FSA) in Finland. Authorised service providers are listed in a public register maintained by FIN-FSA. Cross-border service providers within the EU must also be registered.
Categories of crypto-Assets: 
Crypto-assets fall into two categories:

  • Asset-Referenced Tokens (ARTs) and Electronic Money Tokens (EMTs): These tokens aim to stabilise value by referencing another asset or currency. Issuing ARTs or EMTs requires authorisation, and the issuer must create a detailed white paper.
  • Other Crypto-Assets: These do not stabilise their value (e.g., utility tokens). While issuance does not require authorisation, certain obligations such as producing a white paper still apply.
White paper requirement:
Issuers and offerors of crypto-assets must create a crypto-asset white paper, containing mandatory disclosures on the issuer, the project funded by the crypto-assets, the associated rights and obligations, the technology used, and the risks. Marketing communications must be consistent with this white paper and must not be misleading.
Offering and trading: Public offering or seeking admission to trade ARTs and EMTs requires the consent of the issuer and the creation of a white paper. For other crypto-assets, public offering and trading can proceed without direct authorisation, provided the white paper is produced.
Marketing and communication: All marketing of crypto-assets must be clear, fair, and not misleading. Consistency with the white paper is mandatory.

Additional comments regarding the legal situation for financial services using crypto currencies or what FinTech’s must be aware of in this business area

All crypto-asset service v providers in Finland must comply with strict anti-money laundering regulations under MiCA and additional confidentiality obligations under the Finnish Act on Crypto-Asset Service Providers and Markets in Crypto-Assets. The providers must register with the FIN-FSA and meet the standards for customer identification and protection of client funds. If a provider fails to meet the FIN-FSA’s requirements, its activities will be prohibited, and the prohibition shall be enforced by a conditional fine.


Economic conditions

Market size for financial services using crypto currencies and biggest companies in this business area

Following the implementation of MiCA and the thereto related repeal of the Finnish Act on Virtual Currency, the number of virtual currency providers under the supervision of FIN-FSA has dropped from 13 (2024) to zero. Coinmotion Oy is the only current crypto-asset service provider under the supervision of FIN-FSA, with publicly available information indicating at least one more entity to be registered during 2025.

Additional comments regarding the economic situation for financial services using crypto currencies or what FinTech’s must be aware of in this business area

N/A.



Authors

Close

Choose country