Frederik von Essen

Expertise

Dr. Frederik von Essen is a lawyer specialising in banking and financial supervisory law, with over ten years of experience in the field. He advises on classic institutional and securities matters as well as on issues where financial regulation meets technology: DLT-related projects involving blockchain-based assets, i.e. crypto-assets (in particular stablecoins), tokenisation, DeFi, and Web3.

His clients include credit institutions (banks), financial services institutions, investment firms, payment institutions, e-money institutions, capital management companies (KVG), FinTechs, and other crypto companies across the EU/EEA, particularly in Germany. His work spans everything from the initial concept through to obtaining authorisation and ongoing compliance. The relevant legal frameworks are wide-ranging, from EU legislation such as MiCAR, MiFID II, CRD VI, CRR, PSD2/PSD3, and EMD2, to national German laws including the KWG (German Banking Act), WpIG (Securities Institutions Act), WpHG (Securities Trading Act), ZAG (Payment Services Supervision Act), KAGB (German Investment Code), eWpG (Electronic Securities Act), and GwG (Anti-Money Laundering Act). Which specific requirements apply depends in each case.

Frederik von Essen supports clients with, among other things:

Authorisation and market entry

• Authorisation and licensing procedures, owner control procedures, and other notification processes, as well as substantiated market entry into the EU from third countries (as opposed to reverse solicitation).

Structuring and classifying business models

• Legal structuring of business models and regulatory analysis (legal opinions) on licensing requirements. The goal is a straightforward, cost-effective, and always legally sound foundation – covering both classic banking, securities, and payment services and newer models, such as AI-driven investment and financial services or automated (lending or staking) strategies via vaults in Web3.

Issuance and tokenisation

• MiCAR white papers, both for other crypto-assets such as utility tokens and for stablecoins – i.e. asset-referenced tokens and e-money tokens, where MiCAR, EMD2, and reserve requirements overlap. This also includes securities prospectuses and key information documents, crypto securities under the eWpG, tokenisation of real-world assets, the design of utility and equity tokens, smart contracts, and DAO structures.

Trading and products

• Regulatory classification and structuring of trading models, crypto-assets, and financial instruments – from market making, OTC trading, and operating trading platforms (e.g., OTF or MTF), to crypto-assets such as utility and payment tokens, through to securities under MiFID II, in particular derivatives such as perpetual futures (perps) and other crypto derivatives, including the question of where the line runs between the MiCAR and MiFID II worlds.

Ongoing compliance and organisation

• Organisational and operational structuring, risk management and capital requirements, IT and outsourcing requirements, anti-money laundering (GwG, AMLR, TFR), and securities and trading compliance including market abuse law.

Cooperation arrangements

• Structuring cooperation between regulated and non-regulated entities – white label, fronting, outsourcing, and third-party service arrangements.

Regulators and disputes

• Representation in proceedings and ongoing communication with regulators, as well as resolving crypto-related disputes – including cross-border ones – such as those involving stolen crypto-assets or token allocation and vesting.

Frederik advised on Germany’s first-ever crypto custody licence back in 2020 and has since handled numerous authorisation and owner control procedures, advising on a wide range of business models – including for one of Germany’s largest banks, international crypto exchanges, and globally active stablecoin issuers.

In proceedings and ongoing dealings, he represents clients primarily before Germany’s Federal Financial Supervisory Authority (Bafin), as well as before other national regulators – such as the Austrian FMA, the Central Bank of Ireland (CBI), the Bank of Lithuania (BOL), the Luxembourg CSSF, and the FMA Liechtenstein – as well as ESMA, the EBA, and the ECB.

His legal career has included roles at several major international law firms, where he worked in Financial Services / Banking & Finance with a focus on traditional supervisory law and DLT-related matters. His doctoral thesis focused on financial instruments; he publishes regularly on financial supervisory law, is a frequent speaker at industry conferences in the crypto space, and is actively involved in industry associations.

Frederik’s approach

Legal questions need clear, decision-ready answers – because “It depends” ultimately helps no one. Frederik von Essen makes his clients’ concerns his own: he drives proceedings forward, leads (informal) dialogue with regulators where needed, and stays with a matter until it’s resolved. He is always upfront about risk, because anyone who has to make a decision needs a solid foundation to work from, not an adviser who simply tells them what they want to hear.

His affinity for the digital world makes things easier for clients: if you understand a business model both commercially and technically, you don’t need it explained to you at length – you can get straight to structuring it legally. That makes him a natural choice for companies who see the complexity of digital finance as room to build.