Coinbase, the leading cryptocurrency exchange, is now offering crypto loans to institutional investors in the US. This move is seen as an attempt by the company to strengthen its position in the American Market, despite regulatory uncertainty and issues with local watchdogs. The US Securities and Exchange Commission (SEC) filed a lawsuit against Coinbase in June, accusing the exchange of breaching rules and offering unregistered securities.
The crypto loans are being offered through an entity called Coinbase Credit, and it has already distributed almost $60 million to Prime customers. This new offering fills a market niche that has been left vacant by the bankruptcy of leading cryptocurrency lenders such as Celsius Network, BlockFi, and Genesis.
Coinbase’s focus on the American market comes after facing numerous regulatory hurdles in recent months. The SEC launched an investigation in 2022, alleging that some of the digital currencies listed on the platform were unregistered securities. The attacks from the SEC continued this year, with the issuance of a Well Notice and a lawsuit against the exchange.
To counter these challenges, Coinbase has been expanding globally. It has set its sights on Europe, particularly the United Kingdom, and has introduced Coinbase International Exchange, a platform based in Bermuda that serves non-US institutional users.
In contrast to Coinbase, other companies have decided to halt certain cryptocurrency offerings for American clients due to the regulatory chaos in the country. GameStop, a gaming merchandise retailer, announced that it will remove its crypto Wallets from the market on November 1. Fintech firm Revolut will no longer allow US-based customers to deal with digital assets two days later. Bitstamp, another cryptocurrency exchange, will disallow Americans from staking cryptocurrencies from September 25, citing the “current regulatory dynamics” in the US.
In summary, Coinbase’s decision to offer crypto loans to institutional investors in the US indicates its commitment to strengthening its position in the American market, despite regulatory challenges. While other companies are scaling back their crypto offerings due to regulatory uncertainty, Coinbase is capitalizing on the market niche left by bankrupt cryptocurrency lenders. The company’s expansion globally and focus on Europe further demonstrate its determination to thrive in the face of regulatory hurdles in its home country..
#Coinbase #Launches #Crypto #Lending #Services #American #Investors #Report
The crypto loans are being offered through an entity called Coinbase Credit, and it has already distributed almost $60 million to Prime customers. This new offering fills a market niche that has been left vacant by the bankruptcy of leading cryptocurrency lenders such as Celsius Network, BlockFi, and Genesis.
Coinbase’s focus on the American market comes after facing numerous regulatory hurdles in recent months. The SEC launched an investigation in 2022, alleging that some of the digital currencies listed on the platform were unregistered securities. The attacks from the SEC continued this year, with the issuance of a Well Notice and a lawsuit against the exchange.
To counter these challenges, Coinbase has been expanding globally. It has set its sights on Europe, particularly the United Kingdom, and has introduced Coinbase International Exchange, a platform based in Bermuda that serves non-US institutional users.
In contrast to Coinbase, other companies have decided to halt certain cryptocurrency offerings for American clients due to the regulatory chaos in the country. GameStop, a gaming merchandise retailer, announced that it will remove its crypto Wallets from the market on November 1. Fintech firm Revolut will no longer allow US-based customers to deal with digital assets two days later. Bitstamp, another cryptocurrency exchange, will disallow Americans from staking cryptocurrencies from September 25, citing the “current regulatory dynamics” in the US.
In summary, Coinbase’s decision to offer crypto loans to institutional investors in the US indicates its commitment to strengthening its position in the American market, despite regulatory challenges. While other companies are scaling back their crypto offerings due to regulatory uncertainty, Coinbase is capitalizing on the market niche left by bankrupt cryptocurrency lenders. The company’s expansion globally and focus on Europe further demonstrate its determination to thrive in the face of regulatory hurdles in its home country..
#Coinbase #Launches #Crypto #Lending #Services #American #Investors #Report
