Crypto exchange Coinbase has been making significant strides in expanding its global presence, with a particular focus on Singapore, as the U.S. Securities and Exchange Commission (SEC) remains hesitant to provide additional clarity on crypto regulations in a recent court filing. The move comes as Coinbase CEO Brian Armstrong has expressed openness to relocating offshore in search of more favorable regulatory environments, with the Bahamas, the United Arab Emirates, and Europe among potential destinations for the company’s headquarters.
In response to U.S. regulators’ scrutiny, Coinbase is reinforcing its global expansion strategy. The exchange recently launched Coinbase International Exchange in the Bahamas to offer derivatives trading and is eyeing the UAE as a possible strategic hub. This comes after receiving in-principle approval from the Monetary Authority of Singapore (MAS) in October last year.
Since obtaining MAS approval, Coinbase has introduced various products and services for its Singapore customers. These include no-fee USDC purchases using Singapore dollars (SGD), rewards for holding USDC, USDC order books access for advanced trading, and staking options for ETH, SOL, ADA, ATOM, and XTZ. According to Coinbase Singapore Country Director Hassan Ahmed, these offerings are driven by the belief that stablecoins like USDC will play a significant role in a new financial paradigm, allowing for increased financial inclusion and more efficient global money transfers.
This expansion strategy is fueled by findings from a study conducted by Coinbase and YouGov, revealing that 25% of Singaporeans see crypto as the future of finance. The study also found that 32% of Singaporeans surveyed either currently or used to own cryptocurrency. However, concerns surrounding security and price volatility remain as barriers for non-crypto owners.
In an effort to further accommodate Singaporean customers, Coinbase introduced free bank transfers and integrated the digital identity app Singpass in March. The exchange is also working closely with MAS to improve the regulatory framework, retail access, and consumer protection.
While Coinbase’s expansion into Singapore signals optimism for the future of cryptocurrency in the region, it is crucial to remember that this is only one piece of the puzzle. As Hassan Ahmed noted, engagement with policy and innovation at various levels is essential for a balanced outcome. As the crypto landscape continues to evolve, the role of regulatory clarity and consumer protection is paramount, and the industry’s continued growth will rely on the effective implementation of these principles.
Source: Coingape
