Bermuda

United

April

Coinbase, a cryptocurrency exchange located in the United States, has secured a license to operate in Bermuda and is expected to establish a derivatives exchange there as soon as next week. 
Coinbase announced on April 19 that it had “received our regulatory license to operate from the Bermuda Monetary Authority” — the country’s financial regulator.The license, a Class F License under the Digital Asset Business Act, authorizes Coinbase to engage in a variety of operations, including token sales and issuance. It also allows it to function as both a digital asset exchange and a provider of digital asset derivatives exchange. 
According to a Forbes report dated April 19 citing “a person close to the company,” Coinbase plans to establish a derivatives exchange in Bermuda as soon as next week. 
Bermuda “was chosen as one of our financial hubs” because of its clear legislation, according to Coinbase, and its regulatory framework “is long known for a high level of rigor, transparency, compliance, and cooperation.” 
Some in the crypto community believe this is the beginning of the end for Coinbase in the United States, as it comes just a day after CEO Brian Armstrong stated at a fintech event in London that the exchange may consider leaving the country due to regulatory uncertainty. 
Armstrong has been outspoken about the condition of cryptocurrency legislation in the United States, claiming in November last year that the Securities and Exchange Commission had failed to give regulatory certainty, which was sending investors and trading activity overseas.&nbsp; 
Another obvious advantage of a Bermuda-based exchange is its tax legislation. Bermuda requires businesses to pay a payroll tax, but it has a corporation tax rate of 0%, which means profits are tax-free, making it an appealing base for firms trying to decrease costs. 
The most recent development is an update to Coinbase’s “go broad and go deep” program, which seeks to “establish regulated entities and local operations” in order to support international growth. 
It also discussed its progress in Brazil, Canada, Singapore, Europe, and the United Arab Emirates, saying, “Our approach globally will be consistent with our approach in the United States: we will work with governments and regulators in different markets, and we will always aim to be the most trusted and compliant crypto company in any market.” 
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The post <a rel="nofollow" href="https://bitcoinworld.co.in/coinbase-gets-bermuda-license-offshore-exchange-could-launch-next-week-report/">Coinbase Gets Bermuda License, Offshore Exchange Could Launch Next Week: Report</a> appeared first on <a rel="nofollow" href="https://bitcoinworld.co.in">BitcoinWorld</a>.

Coinbase Gets Bermuda License, Offshore Exchange Could Launch Next Week: Report

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