Paybis Obtains MiCA and PSD2 Licenses in Latvia

Paybis Secures MiCA and PSD2 Licenses in Latvia – Expanding Regulated Crypto and Payment Services Across the EU

Key Takeaways

• Paybis has received both a MiCA crypto-asset service provider license and a PSD2 payment institution license from Latvia’s central bank.
• The licenses were granted to SIA Paybis Europe on May 12 by the Supervision Committee of Latvijas Banka.
• Paybis is the first company in Latvia to hold both licenses simultaneously and the third to obtain a MiCA CASP license in the country.
• The dual authorization enables Paybis to combine regulated crypto services with payment execution and transfer capabilities in the EU.

Latvia Grants Dual Authorization Under MiCA and PSD2

Paybis has secured two regulatory approvals from Latvia’s central bank, Latvijas Banka, strengthening its position within the European Union’s regulated crypto market. On May 12, the Supervision Committee of Latvijas Banka issued a crypto-asset service provider license under the EU’s Markets in Crypto-Assets Regulation, known as MiCA, and a payment institution license under the Payment Services Directive 2, or PSD2, to SIA Paybis Europe, the company’s EU entity.

According to the central bank, Paybis is the third company in Latvia to receive a MiCA CASP license. It is also the first company in the country to hold both a MiCA crypto license and a PSD2 payment institution license at the same time.

The MiCA license authorizes Paybis to provide custody and administration of crypto assets on behalf of clients. It also covers the exchange of crypto assets for funds or other crypto assets, execution of orders, transfer services, and crypto-asset advisory. In parallel, the PSD2 license allows the company to execute payments and carry out transfers to payment accounts.

For users and business partners operating within the EU, this combination means that Paybis can offer both regulated crypto services and regulated payment functionality under a single supervisory framework in Latvia.

Integration of Crypto Services and Regulated Payment Rails

Innokenty Isers, CEO and co-founder of Paybis, stated that holding both licenses enables the company to develop what he described as a broad, future-focused offering, including services involving stablecoins.

Konstantins Vasilenko, co-founder and chief business development officer of Paybis, explained that the company is targeting business clients with a white-label crypto infrastructure stack. According to Vasilenko, this stack includes on and off ramps, buy, sell and swap functionality, payment acceptance, and stablecoin payouts. These services are delivered through a single application programming interface, allowing partner companies to integrate crypto services into their own platforms without building a separate regulated setup.

Vasilenko added that the combination of MiCA CASP authorization and PSD2 payment institution licensing is central to this strategy. It enables Paybis to connect crypto-asset services directly with regulated payment rails, which is relevant for companies seeking compliant infrastructure within the EU.

For international users of crypto platforms, including those evaluating payment options for betting or iGaming services, the regulatory status of infrastructure providers can affect how crypto transactions are processed, converted, and transferred within the European market.

Paybis Operations and International Footprint

Founded in 2014, Paybis reports supporting 90 cryptocurrencies and serving seven million users across 180 countries. In addition to its newly granted EU licenses in Latvia, the company holds money services business licenses in the United States and Canada.

The Latvian approvals consolidate its regulatory position within the EU at a time when MiCA is being implemented across member states. By obtaining authorization through Latvijas Banka, Paybis can operate its EU entity under the MiCA framework while also conducting payment operations under PSD2 rules.

For companies seeking cross-border crypto and payment functionality, especially those active in digital services, this type of licensing structure can determine which services may be offered directly within the EU and how customer funds and crypto assets are handled.

MiCA Framework Under Review as Industry Scrutiny Grows

The development comes amid ongoing discussion about the future evolution of MiCA. In April, European Commission adviser Peter Kerstens said during Paris Blockchain Week 2026 that it would be unusual if there were no further iteration of the regulation, informally referred to as MiCA 2, at some point. He indicated that the European Commission plans a public consultation to assess whether the rules are functioning as intended for market participants.

The comments followed increasing scrutiny from parts of the crypto industry. Stablecoin issuer Circle has raised concerns about euro stablecoin thresholds, while policymakers are debating whether supervision of major crypto firms should be centralized under the European Securities and Markets Authority.

Within this regulatory environment, companies obtaining MiCA licenses position themselves under the EU’s harmonized framework for crypto-asset services. The addition of PSD2 licensing further integrates crypto activity with established payment regulation.

Our Assessment

Paybis has become the first company in Latvia to simultaneously hold a MiCA crypto-asset service provider license and a PSD2 payment institution license. The authorizations allow the company to provide custody, exchange, transfer, advisory, and payment execution services under EU regulatory oversight. As MiCA continues to develop and faces industry scrutiny, the dual licensing structure places Paybis within both the EU crypto regulatory framework and the established payment services regime.