Recent investigations reveal significant regulatory shortcomings at Bitpanda, a leading European crypto platform with over seven million users and plans for a Frankfurt stock market listing valued between four and five billion euros. Despite its claims of compliance, internal documents and BaFin inspections highlight serious deficiencies in risk management, IT, and outsourcing, with 16 notable issues identified—five of which are classified as severe. The BaFin mandated remediation by March 2025, and while the company reports full resolution, internal audits and whistleblower reports suggest ongoing organizational weaknesses, including inadequate documentation, lack of regulatory knowledge, and questionable internal processes, even allegedly involving AI-generated documents. The regulatory scrutiny underscores the risks faced by crypto firms, especially given the volatile market and increasing fraud incidents. Bitpanda maintains it operates under strict EU regulations, with regular external audits and compliance measures. However, critics warn that the internal and external findings raise concerns about the company's reliability and governance. In addition to regulatory challenges, Bitpanda has expanded its product offerings, including a new stock and ETF trading platform launched in January 2026, which features a broad selection of over 10,000 securities and competitive fees. The platform is praised for its extensive trading options, user-friendly interface, and strong customer support, including multiple payment methods and a robust service experience. Nevertheless, some limitations remain, such as the absence of certain order types and international trading restrictions. Overall, while Bitpanda demonstrates impressive growth and product diversification, its internal compliance issues and regulatory findings highlight the ongoing risks and the importance of vigilant oversight in the evolving crypto and fintech landscape.