US crypto exchange Coinbase has received approval from the UK Financial Conduct Authority (FCA) to operate in the country as a virtual asset service provider (VASP).
Registration with the FCA will allow Nasdaq-listed Coinbase to serve retail and institutional customers, giving them the ability to legally trade digital assets. Since 2018, Coinbase Payments, a subsidiary of Coinbase, has offered fiat money transfer services to UK residents. However, before receiving the license, the company could not offer cryptocurrency products to Britons.
“Registration with the Authority is critical to Coinbase’s continued growth in the UK and expansion of the exchange. Our mission is to bring 1 billion more people into the crypto industry while maintaining the security of customer assets and maintaining high regulatory standards. The widespread use of cryptocurrency will increase economic freedom,” Coinbase said in a press release.
The exchange’s management noted that the crypto sector contributes to the creation of new jobs and attracting investment to the UK, while stablecoins are increasingly used by traditional financial companies to speed up payments.
Coinbase has received the go-ahead from the UK regulator, six months after the FCA concluded an investigation into its local subsidiary Coinbase Payments. Last year, the FCA fined it £3.5 million ($4.3 million) for serving high-risk customers.
