Coinbase to Expand Services in UK and EU – Got Its eMoney License


It’s official. Coinbase is going to expand its service pertaining to digital currency into the United Kingdom and European Union. The move has been prompted by the growing need for a dedicated office and presence in the European Union.

Coinbase has stated that the demand for their services is on the rise and this has made the company opt for regulatory licensure from relevant European agencies. In order to substantiate the expansion, Coinbase has also said that it will increase their team in London by 8 times.

Coinbase in London

What is the Official Status?

Officially, Coinbase was given an e-money license by the United Kingdom Financial Conduct Authority on Wednesday. This license will give the company permission to offer payment services and provide digital alternatives to currency all over Europe. This, in turn, means that customers will be able to make payments by credit or debit cards, online or through their mobile phones.

FCA Logo

However, it must be noted that there is a stark difference between e-money and cryptocurrencies. At the same time, the license granted to Coinbase carries with it strict conditions that have been created to offer protection to clients and users.

In a press release issued by the company, a spokesperson from Coinbase explained:

“Coinbase is dedicated to ensuring our client’s monies are completely secure. Now, with the rigid regulations governing our operations in Europe, we have updated and upgraded our security features. This effectively puts us in the same league as varying financial houses and organisations operating across Europe at present. One instance of the aforementioned division with regard to our e-money operations is the distinction made and separate handling of customer funds. Coinbase funds will be segregated from our client’s fiat money and stored is dedicated bank accounts for each.”

Coinbase Logo

Another important thing to note about the license issued by the FCA is that it enables Coinbase to begin operations in 23 nations in the European Union. However, there is still doubt over the status of the license when the UK finally adopts Brexit. At present though, Coinbase will be allowed to trade in EU. But if relevant rules granting permission to Coinbase to continue operating in the EU get changed, then the company will have to temporarily halt operations. Coinbase will then have to seek licensure from individual nations for their requisite operational.

Alongside this news, another piece of information was declared.

Faster Payments

Coinbase will become a part of the UK Faster Payments Scheme. The purpose of this is to accelerate banking transactions for citizens. Currently, a prototype is set to be launched which is expected to pave the way for a complete program granting access to all customers in the country.

Leave a Reply

Notify of

Risk Warning: Investing in digital currencies, stocks, shares and other securities, commodities, currencies and other derivative investment products (e.g. contracts for difference (“CFDs”) is speculative and carries a high level of risk. Each investment is unique and involves unique risks.

CFDs and other derivatives are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how an investment works and whether you can afford to take the high risk of losing your money.

Cryptocurrencies can fluctuate widely in prices and are, therefore, not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. Past performance does not guarantee future results. Any trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. Your capital is at risk.

When trading in stocks your capital is at risk.

Past performance is not an indication of future results. Trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. Prices may go down as well as up, prices can fluctuate widely, you may be exposed to currency exchange rate fluctuations and you may lose all of or more than the amount you invest. Investing is not suitable for everyone; ensure that you have fully understood the risks and legalities involved. If you are unsure, seek independent financial, legal, tax and/or accounting advice. This website does not provide investment, financial, legal, tax or accounting advice. Some links are affiliate links. For more information please read our full risk warning and disclaimer.