Austrian cryptocurrency exchange and trading platform Bitpanda will be working with Coinbaseย Cryptoย exchange to connect Americaโs largest exchange with European banks.
The move is the latest effort by Coinbaseย Cryptoย exchange to expand overseas following the Unitedย States regulatory war on cryptocurrency. The partnership will allow Coinbaseย Cryptoย exchange to use Bitpandaโs business infrastructure layer to connect directly to banks and fintech firms.
Furthermore, Coinbaseย Cryptoย exchange will become a liquidity provider for Bitpanda Technology Solutions (BTC), the firmโs โinvesting-as-a-serviceโ division.
This will enable the platformโs institutional clients to integrate trading infrastructure and offer their own clients cryptocurrency financing and custody tools, reportsย by reports.
Plentyย of banks, including Austrian Raiffeisenlandesbank, German neobank N26, the French fintech company Lydia, and Unitedย Kingdom financing company Plum, are already using the service.
Coinbaseย Cryptoย exchange Branching Out
Reportsย by BitPanda COO Lukas, Enzersdorfer-Konrad, the rollout of Europeโs MiCA regulations will enable banks to offer cryptocurrency services to customers. Banks can see how much of their customer funds have been flowing into cryptocurrency corporations, he informed CoinDesk before adding:
โThey understand how much business they are missing out on, and likewise how much more of their customer base would do that business, if they had enough trust in the process.โ
โBitpanda and Coinbaseย Cryptoย exchange share an ambition โ to make investing in digital assets safe and secure in a regulated way,โ he added.
Guillaume Chatain, Coinbaseโs head of institutional sales EMEA and APAC, stated that the company was working hard to โupdate the financial system by building trusted products that enhanceย the utility and adoption of crypto.โ
Coinbaseย Cryptoย exchange is facing increasing regulatory pressure on its home turf in theย Unitedย States following the threat of legal action from the Securities and Exchange Commission in March.
Its petition requesting more clarity on cryptocurrency regulations has been rebutted by the SEC, which assertsย that securities laws are already in place and thereย is no need for new legislation for the new investment class.
Alongย with its European expansion ambitions, Coinbaseย Cryptoย exchange has likewise been granted a license to operate in Bermuda as it gradually starts to branch away from the harsh environment at home. The company is likewise seeingย as the United Arab Emirates (UAE) as a potential strategic hub for its international operations.
Cryptocurrency Market Outlook
Cryptocurrency markets have fallen sharply today, with a 3.3 percent decline in total capitalization dropping levels below support. Inย doingย so, the total cap hasย dropped to a two- 30ย days low of $1.14 trillion.
Bitcoinย (BTC) hasย dropped to $26,068 following a 4 percent slide, while Ethereumย (ETH) was down to $1,778 after shedding 3.7%.
