Coinbase is charting a new course in the European Union’s financial landscape. The renowned digital currency platform is set to broaden its product palette with regulated derivatives, stepping into the competitive arena against the likes of Binance and Bybit.
In a strategic move, Coinbase has announced its acquisition of a Cyprus-based entity, a move that aligns with the EU’s Markets in Financial Instruments Directive (MiFID II) regulations. This directive, which the EU revamped in 2017, sets the stage for more inclusive financial markets, encompassing various assets like derivatives, fixed income, and currencies.
What This Means for EU Traders:
- Regulated derivatives: With the MiFID II license, Coinbase is poised to offer futures and options within EU jurisdictions.
- Compliance: The acquisition is a testament to Coinbase’s commitment to stringent global compliance standards, including AML and KYC protocols.
This development comes at a pivotal moment as Coinbase gears up for the upcoming Markets in Crypto-Assets Regulations (MiCA) in the EU, with Ireland as its regulatory nucleus.
Despite facing challenges back home in the US, Coinbase’s EU ventures reflect its resilience and adaptability in the ever-evolving crypto market. By December 2024, the company anticipates securing the MiCA license, further solidifying its European presence.
