Crypto exchange Coinbase’s decision to expand its business abroad through the creation of Coinbase International Exchange (CIE) has sparked mixed reactions within the crypto community. Some are expressing frustration towards U.S. regulators, while others are supporting the move, asserting confidence in the global growth of cryptocurrencies.
CIE, a crypto derivatives platform aimed at institutional investors, offers trading in eligible jurisdictions outside the U.S. The move comes amid the regulatory turmoil in the United States involving various crypto firms, including Silvergate, Silicon Valley Bank, and Signature, which have drawn increased scrutiny from U.S. regulators after their respective collapses. By launching its international exchange, Coinbase appears to be taking a cautious step in navigating the increasingly complex regulatory landscape.
Some community members have voiced their support for Coinbase and the worldwide growth of cryptocurrencies. Tyler Winklevoss, the CEO of Gemini, which also recently unveiled a global derivatives platform, emphasized that “crypto is global” and that it’s crucial for everyone to “lean into” the global landscape. One Twitter user stated that crypto is the future and that it would take off with or without certain over-regulating countries. Similarly, a Reddit user praised Coinbase’s decision, asserting that it’s better to be safe than sorry.
However, the move also raised concerns among those critical of U.S. regulators, particularly the Securities and Exchange Commission (SEC). Community member Jesse Dow accused SEC chair Gary Gensler of being “someone with an agenda.” John Deaton, the founder of Crypto Law US, went on to assert that the SEC has “failed miserably to protect investors” and has not maintained fair, orderly, and efficient markets.
Nonetheless, it’s undeniable that cryptocurrencies are taking the world by storm, and initiatives like Coinbase’s international expansion seek to capitalize on this growth. The global community is split between those championing the move as a positive development for the crypto sector and those expressing disappointment with the regulatory landscape in the U.S. Regardless of individual opinions, however, the launch of CIE marks a significant milestone in the crypto world’s ongoing evolution, one that will likely influence the industry’s trajectory for years to come.