FINLAND Law and Practice Contributed by: Jon Hautamäki, Max Atallah and Mikael Huhtala, Nordic Law
tions and guidelines, contributing to a transparent and predictable supervisory environment. This stands in contrast to certain neighbouring jurisdictions, includ- ing parts of the Baltic region, which have experienced regulatory volatility and active revocation of previ- ously granted fintech registrations, authorisations and licences. However, the transition to the MiCA frame- work has elevated supervisory expectations, and the FIN-FSA’s updated AML/CFT guidance explicitly sub- jects CASPs to the full scope of Finnish AML super- vision, increasing the risk of enforcement action for compliance failures in this area. For cross-border breaches, MiCA’s passporting frame- work means that the FIN-FSA co-operates with home state regulators of EEA-passported CASPs operating in Finland, and with ESMA and EBA in cases involving potential breaches of directly applicable EU regula- tions. Third-country firms offering services into Fin- land without authorisation are subject to enforcement action by the FIN-FSA regardless of their location. The FIN-FSA’s supervisory approach is not expected to change materially in the next 12 months, though increasing maturity of the MiCA framework and grow- ing market activity are likely to result in more frequent supervisory engagement and potentially more visible enforcement actions as the regulator moves from tran- sition management to active ongoing supervision. 3. Licensing and Set-Up Requirements 3.1 Licensing Requirements The trigger for requiring a licence, registration or authorisation in Finland is the provision of regu- lated crypto-asset services as defined under MiCA, or the issuance of crypto-assets requiring a white paper or specific authorisation. Any entity providing CASP services – including custody, transfer, trading, exchange, execution, placing, reception and trans- mission of orders, advice or portfolio management in crypto-assets – requires CASP authorisation from the FIN-FSA. EMT issuers additionally require a credit institution licence or EMI licence. By contrast, block- chain technology used without crypto-assets, and the personal buying, holding or trading of crypto-assets
on one’s own behalf, does not trigger any licensing, authorisation or registration requirement. The principle of technology neutrality means that licensing requirements depend on the nature of the service provided rather than the technology or plat- form used to deliver it. Fully automated or algorith- mic delivery of regulated services does not reduce or eliminate licensing requirements. Territorial reach is determined primarily by where ser- vices are actively offered. A firm based outside Finland that actively targets Finnish consumers – for example, by using Finnish language in marketing materials or directing advertising specifically at Finnish consumers – is considered to be offering services in Finland and must hold valid authorisation or passporting arrange- ments. Finnish legislation does not require the owners or management of a licensed firm to reside in Fin- land or be Finnish tax residents, providing significant flexibility for international founders and management teams. However, at least one member of the board of directors must reside within the EEA under the Finn- ish Limited Liability Companies Act. As of 1 January 2026, all notifications and start-up filings to the Finn- ish Trade Register must be submitted electronically, as paper-based filings are no longer accepted for lim- ited liability companies. MiCA authorisation obtained in Finland additionally enables CASPs to passport their services across the EEA without requiring sepa- rate national approvals in each member state, making Finland an effective base for EU-wide crypto-asset operations. The grandfathering regime that previously allowed reg- istered VASPs to continue operating during the MiCA transitional period expired on 30 June 2025. From that date, all operators are required to hold full CASP authorisation. No grandfathering provisions remain available, and firms operating without authorisation are subject to enforcement action by the FIN-FSA. 3.2 Set-Up Requirements CASP authorisation is granted by the FIN-FSA fol- lowing a formal application process. Applicants must demonstrate compliance with MiCA’s requirements across several areas, including the following:
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