© Reuters
LONDON – Coinbase (NASDAQ:), a major player in the cryptocurrency exchange market, today announced its intention to acquire a Cyprus-based entity that holds an EU MiFID license. The acquisition is currently awaiting regulatory approval and is expected to be completed during 2024.
ThisThe strategic move is expected to expand Coinbase’s product offerings, allowing it to include derivatives such as futures and options, in addition to its existing bitcoin spot trading services.
The acquisition is part of Coinbase’s “Go Broad, Go Deep” strategy and is designed to comply with European single market regulations. These include strict anti-money laundering (AML) and know your customer (KYC) standards, as well as compliance with sanctions laws. By expanding its services to cover a wider range of crypto asset classes, Coinbase aims to strengthen its competitive advantage over other key market players such as Binance and OKX.
Coinbase has chosen Ireland as its main European Union base, a move that follows the acquisition of a French license in December. The company’s establishment in Ireland is part of its wider efforts to comply with regulatory frameworks across Europe, including the upcoming Markets in Cryptoassets (MiCA) Regulation. MiCA is expected to enable more streamlined operations for crypto businesses across major European markets.
Additionally, Coinbase has introduced a five-point global compliance standard. This framework is expected to support the company’s expansion objectives while ensuring compliance with the strict regulatory environment governing financial and crypto-asset services in the EU.
This article was generated and translated with the help of AI and reviewed by an editor. For more information, see our T&Cs.