Coinbase Exchange established a new partnership with Bitpanda to expand its crypto services in Europe via banks.
Coinbase is a US-based Nasdaq-listed public crypto firm. This exchange is known as a highly regulated crypto company in the US jurisdiction but still facing huge struggles with the American financial regulatory body SEC.
On 25 May 2023, Coinbase exchange established a partnership with Austrian-based crypto exchange and trading platform Bitpanda.
Bitpanda Technology Solutions is a business-to-business infrastructure layer provider. Here Coinbase will use Bitpanda’s technology to connect directly to banks and fintech in Europe.
Under the collaborative efforts, Coinbase will be able to provide a way for European banks to provide crypto trading services for customers.
Guillaume Chatain, Coinbase’s head of Institutional Sales for EMEA & APAC regions, said that the Coinbase firm is happy with this Bitpanda partnership because it is going to drag more institutions into the crypto sector business.
Coinbase vs US regulatory environment
Coinbase is highly regulated in the US but still faces legal hurdles with the United States Securities and Exchange Commission (SEC) over the particular crypto assets trading & crypto staking services.
Over the last two months, Coinbase exchange several times hinted that it is going to shift its business outside the US because of the unclear crypto regulatory environment in the US, while 95% revenue for this crypto firm comes from the US customers.
In the present time crypto industry is running in the EU under a grey region but the EU may bring its crypto regulation framework “Markets in crypto assets (MiCA)” within the next two years.
Coinbase vs SEC
Over the last 1 year, the Coinbase team has been trying to use all kinds of legal rights to force the US SEC body to get clarity on the agency’s regulatory approach.
So far the SEC body failed to provide clarity and also the SEC body stated that Coinbase or any third party body has no authority to guide any government body to follow duty because it is not their business.
Read also: Ripple acquires Bitstamp’s stakes ahead of EU expansion plans