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After marking its presence in Japan, Coinbase is all set to make its mark in the German market. The exchange has received the license from the regulatory authorities of Germany, Bafin to operate in the country legally.
A Nasdaq listed company Coinbase seems to be on an expansion spree as the company has received a license to operate in Germany now officially. The cryptocurrency exchange firm Coinbase has got approval from the financial regulators of Germany, Bafin, to give cryptocurrency trading and custody services in the country.
The company in its official announcement has said that the German Federal Financial Supervisory Authority (Bafin) had awarded Coinbase Germany GmbH license for trading in the country, under the new licensing regime introduced in January 2020.
Soon to be launched
The Bafin licensing framework is the first of its kind in the European Union and Coinbase is the first company to have been given such a license. Coinbase will be launching in Germany in a few weeks and will add more German clients to its list.
The company will be serving both its existing and new clients in Germany. With its presence on the German soil, Coinbase will be able to localise the service effectively and in future will be increasing the portfolio of the products.
Coinbase is fully equipped with its German support team and ramping up its team for better services and products to the German market.
Coinbase was working closely with the regulators of Germany to obtain licenses to operate in the country for many months now. Recently the exchange has also bagged a license from Japan to operate officially in the country. The license was given by the regulatory authority of the Japan Financial Services Agency (FSA).
Others in the pipeline
In 2019, the parliament of Germany passed a law that required exchanges to apply for a cryptocurrency storage license or leave the German cryptocurrency custodian. The companies which were operating in the country on January 1, 2020, were asked to apply by March 31, 2020, or latest by November 2020.
Coinbase had applied for the license in the summer of 2020. There are other applications also lying with the authorities which are in an advanced stage of the review process. The decision on these applications will be taken by Bafin in a few months.
The exchange has also marked its presence in the U.S. via a direct listing in April. Where its rival Binance was asked to move outside of the U.S., Coinbase has been given the approval to run its operations in the country. Coinbase has its presence in the UK, U.S., Japan and at the same time, Binance has been asked by the regulatory authorities of these countries to move its operations outside the country.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
