Hodli Gets Italy's First MiCA Crypto Portfolio Manager License

Genoa-based fintech Hodli has become the first firm in Italy to receive a license to actively manage crypto portfolios. The Bank of Italy granted the authorization under the European Union's Markets in Crypto-Assets regulation, known as MiCA.

Plenty of European firms can custody crypto, holding it for clients. Hodli's license goes further. It allows the company to make investment decisions and rebalance allocations, running strategies on behalf of users. That active management piece is what sets this apart from the standard crypto exchange or wallet provider.

MiCA created a single rulebook for crypto businesses across the bloc. The Crypto-Asset Service Provider designation is the gateway for firms wanting to offer trading and custody, or portfolio management. Italy's central bank is the competent authority for granting these licenses. Hodli cleared its requirements on capital and governance, plus consumer protection rules.

Hodli relies on proprietary algorithms and artificial intelligence to drive its portfolio strategies. The company raised 1.05 million euros in 2023, money earmarked for European expansion.