Source: Adobe / Rafael HenriqueDigital asset exchange Coinbase sets out plans for a global expansion flagging jurisdictions outside the United States as “near-term priority markets.”
In a recent blog post, the company highlighted several challenges in the US markets citing bottleneck regulations leading to an exodus of both investors and creators.
Nana Murugesan and Tom Duff Gordon, Coinbase’s vice presidents for international business and international policy, noted that the expansion plans will target Canada, the United Kingdom, Australia, Brazil, Singapore, and the European Union.
Going further, the executives noted that these countries are currently edging toward clear rules on digital assets while the United States continues to miss out.
“Every part of the world is seeing progress on crypto-forward regulation except for the U.S., which is opting for a ‘strategy’ of enforcement of existing rules and new regulations through the courts.”
In its expansion plans termed “Go broad, Go deep,” the exchange highlighted the next step to drive products in other markets. The firm would focus on licenses, registrations, and flagging off new operations in the above-mentioned jurisdictions.
The duo also added that they were in the final stages of selecting a MiCA hub in Europe following an established regulatory framework in the continent.
“Go broad, Go Deep”- Coinbase keen on new markets Per the blog post, the exchange is set to expand its “Go Broad” products with “forward-thinking regulators.” The products include the International Exchange launched under the supervision of the Bermuda Monetary Authority and Coinbase Wallet which aims to make web3 safer and more versatile globally.
They further disclosed plans for a working partnership with banks and payment service providers to expand and integrate more systems making transactions hassle-free as well as its derivatives market.
The expansion plan efforts entail steps to become compliant with the laws of every country including local events for community development.
“We’re committed to helping to update the global financial system and providing more economic freedom and opportunity, and won’t stand idle just because the U.S. is.”
Regulation: American nightmare, EU’s blessing The Securities and Exchange Commission (SEC) alongside the Commodity Futures Trading Commission (CFTC) has filed several cases against digital asset firms leading to many terming US regulators as “hostile” in their approach towards digital assets.
This year, the SEC instituted lawsuits against Coinbase and Binance for allegedly offering unregistered securities, a claim that the exchange refutes.
The ongoing regulatory debacle has resulted in Brian Armstrong, Coinbase CEO noting that the firm could relocate from the United States although he later clarified that an exit is “not even in the realm of possibility.”
The company also stated in its release that 83% of G20 members are big on regulatory clarity as well as a renewed drive by EU nations and Hong Kong to grant Virtual Assets Service Provider Licenses (VASP).
The exchange highlights Europe’s growing stance in the market as it hosts about two-thirds of blockchain opportunities and is now almost at par with the US in terms of developer roles at 29%.
In a related development, observers have stated that the exchange commitment to Brazil will pay off as the country will take over the leadership of the G20 in December 2023.
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