Backpack Exchange, a prominent global cryptocurrency trading platform, has announced the official launch of its European division, Backpack EU. Based in Cyprus and operating under the European Union’s MiFID II regulatory framework, Backpack EU aims to establish itself as one of the first fully regulated platforms in Europe to offer cryptocurrency derivatives, specifically perpetual futures.
In an interview with CoinDesk, CEO Armani Ferrante remarked on the competitive landscape, stating, “As far as I’m aware, it’s just going to be us and Kraken” who are currently offering perpetual futures in Europe. This launch follows Backpack’s acquisition of FTX EU earlier this year. Initially, the sale was deemed unauthorized by the FTX bankruptcy estate in January, but subsequent resolutions allowed Backpack to begin the process of compensating former FTX EU customers starting in April.
The newly launched Backpack EU promises its users access to over 40 trading pairs, offering leverage of up to 10 times. The platform’s objective is to provide a compliant trading environment that caters to both retail and institutional clients, enabling them to engage with advanced crypto trading products seamlessly.
Ferrante emphasized the significance of rebuilding trust in the cryptocurrency sector, which has faced scrutiny due to multiple exchange failures. “You give trust by doing good things every day over a long period of time. It’s compounded,” he noted, highlighting that while trust takes time to establish, it can be easily lost in a single day. The company seeks to enhance its reputation by consistently improving its operations and maintaining transparency.
A key element of Backpack’s strategy includes its proof-of-reserves system. The exchange publishes daily attestations from its validators, utilizing zero-knowledge proofs to ensure transparency and security. Ferrante stated this approach should set a standard in the industry, suggesting that such practices should be a regular norm rather than an exception.
Additionally, Backpack Exchange reported processing over $160 billion in global trading volume since 2024. Looking ahead, the company has plans to expand operations to other regions, including Japan, where Ferrante indicated that they are pursuing similar licensing arrangements. This expansion reflects Backpack’s commitment to growth and innovation in the evolving cryptocurrency landscape.
