The Financial Conduct Authority (FCA) has authorised Coinbase to directly offer crypto-related services to customers, with the US crypto exchange successfully registering as a Virtual Asset Service Provider (VASP).
According to Coinbase, the regulator’s green light makes it the among the largest legitimate cryptoasset businesses in the UK.
The firm previously offered its exchange services in the UK through other entities. Its new status allows it to offer these directly to customers in the country through its subsidiary CB Payments Ltd.
The news comes as the FCA has been tasked with developing its regulatory regime for crypto, with the UK government seeking to make the UK a global hub for the industry.
CB Payments is now listed on the FCA’s register of cryptoasset firms under reference number 900635. You can view the full list of UK regulated crypto companies through this link.
Coinbase has been listed on the tech-focused NASDAQ exchange in the US since 2012, making it one of the first crypto exchanges. It hosts $273 billion in assets globally on behalf of customers including retail as well as institutional investors and operates in more than 100 countries.
It claims to be the most trusted platform in the UK for buying, selling, and trading crypto. This is based on the results of a 2022 YouGov survey conducted in the UK, Germany, India, and the US.
The Good Money Guide noted in it’s Coinbase review the wide range of cryptoassets it offers – more than 100 – as well as its publicly-listed status as points in favour of the company.
However, we have some scepticism over whether most crypto has objective value as an investment, especially as assets are still largely unregulated in the UK.
In December, Coinbase enabled Apple Pay, allowing for immediate conversions between fiat currencies such as dollars and pounds and crypto currencies.
The new feature is accessible through Coinbase Onramp, which facilitates fiat payments for eligible users of the Coinbase app.
Robin has more than six years of experience as a financial journalist, most of which were spent at Citywire, and covers the latest developments in the investing, trading and currency transfer space. Outside of work, he enjoys reading literature and philosophy and playing the piano.
You can contact Robin at robin@goodmoneyguide.com
