Leading cryptocurrency exchange Coinbase has received an e-money license from the Central Bank of Ireland, the company has announced.
According to Zeeshan Feroz, Coinbase U.K chief executive, the license provides the next step in its expansion into Ireland.
Coinbase can now secure passporting for its customers in the region, Feroz added. It should see the exchange expand its operations across the European Union (EU) and the European Economic Area (EEA).
A “passport” allows any business authorized in one EU country to provide its services throughout the EU without having to seek regulatory approval from other member states.
CEO of IDA Ireland Mike Shanahan noted that having Coinbase in Dublin reinforced Ireland’s strength as a financial services destination.
Shanahan pointed out the government’s commitment towards ensuring the country provides a “consistent, certain, [and] pro-enterprise policy environment,” as the reason many companies and businesses found it easy to “grow and thrive.”
IDA Ireland is a state-sponsored agency tasked with the tough job of attracting foreign investments to the country. The agency is upbeat that the approval of Coinbase’s license will help the country’s financial industry.
Coinbase has secured the license a year after it opened its Dublin office, becoming one of the very first to be granted such authorization in the country.
As per a company blog post published Friday, the e-money license presents a massive opportunity for the U.S.-based firm as it looks to reinforce its position as a leading cryptocurrency exchange.
This is a second approval by a European regulator. The first was in March 2018 when Coinbase secured an e-money license from U.K’s Financial Conduct Authority (FCA). The license was seen as key to the crypto company’s plans for expansion. However, with the U.K. looking at Brexit, Coinbase sees the opportunity to operate from Dublin as crucial to its efforts in Europe.