U.S. cryptocurrency exchange Coinbase has obtained a critical regulatory licence in Singapore, the company announced on Tuesday, as it quickens its global expansion.
The Monetary Authority of Singapore (MAS), the island nation’s central bank, has granted Coinbase an in-principle authorization to provide regulated digital token products and services. The bitcoin industry is still facing pressure as a result of Coinbase’s regulatory certification.
The market’s value has decreased by around $2 trillion as a result of the poor performance of important tokens like bitcoin and ether this year.
The failure of big projects and corporate bankruptcy have plagued the sector. Coinbase said in June that 18% of its workers would be let go.
However, the American exchange has continued with its globalisation and is looking to add staff in new European markets.
In Singapore, Coinbase has consistently made investments. Last year, the company announced that Singapore would be one of its centres for tech development. The island nation serves as the focal point for Coinbase’s institutional investor-focused operations in the Asia-Pacific region.
Since we intend to deploy our full suite of retail, institutional, and ecosystem goods, receiving this in-principle permission from MAS is a crucial step, Coinbase wrote in a blog post on Tuesday.
As Singapore strives to become a recognised international hub for the bitcoin industry, MAS has granted similar approvals to 15 different companies.
The central bank of Singapore is still attempting to entice businesses to locate there, despite having issued warnings about the “speculative” risks associated with cryptocurrencies and looking to tighten regulations surrounding trading for retail investors.
