In a significant milestone for both Coinbase and the broader cryptocurrency landscape, Coinbase (COIN) has become the largest crypto exchange to operate in the United Kingdom after securing a coveted spot on the Financial Conduct Authority’s (FCA) register. This new registration marks the first time Coinbase will be able to offer cryptocurrency services directly to U.K. customers, allowing the exchange to expand its reach and offerings in the region.
Keith Grose, Coinbase’s U.K. CEO, expressed excitement about the opportunities this approval brings, stating, “It opens up new channels and opens up the ability to launch new products and services.” After six months of preparation, Coinbase can now offer both cryptocurrency and fiat services, enhancing the trading experience for U.K. investors and traders.
Securing a place on the FCA’s register is no easy feat—just 14% of applicants have successfully completed the process. Coinbase had already been operating in the U.K. through its subsidiary, CB Payments Ltd. (CBPL), which provided e-money services since 2018. However, CBPL did not offer cryptocurrency services directly, acting as a gateway for U.K. customers to trade digital assets via Coinbase’s broader network.
Now that Coinbase has secured registration as a Virtual Asset Service Provider (VASP), CBPL can provide both fiat and crypto services. A Coinbase spokesperson confirmed, “Our new U.K. VASP registration will mean that CBPL can not only continue to provide our customers with fiat services, but now can also provide crypto services.”
The new registration also gives Coinbase a direct line to the FCA, streamlining communications and planning. Grose noted that the company is eager to discuss future developments, such as staking and the potential of stablecoins in the U.K., as part of the country’s evolving crypto regulatory framework.
With this move, Coinbase not only solidifies its position as the largest crypto exchange in the U.K. but also paves the way for further innovations in the region’s cryptocurrency sector.
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