Coinbase, a US-based cryptocurrency exchange, is considering the United Arab Emirates (UAE) as a potential hub for its international operations. The exchange’s CEO, Brian Armstrong, and some of the firm’s executive team have met with regulators in Dubai and Abu Dhabi to discuss the potential of the UAE as a strategic hub for international operations.
Coinbase is considering using the UAE as the hub for its international service in the Middle East and other nearby regions. The country has the potential to be a strategic hub for the exchange, with its progressive regulatory efforts in the crypto space, a clear rule book, business-friendly environment, and strong customer protections.
Coinbase’s VP of International & Business Development, Nana Murugesan, said in a tweet that the country has the potential to be a strategic hub for the exchange. Coinbase is looking to expand its licensing and availability of its cryptocurrency exchange in the UAE, acting as a bridge between Asia and Europe.
UAE’s progressive regulatory efforts in the crypto space
The UAE has steadily opened up opportunities for crypto firms, seemingly to draw in capital and jobs. Dubai established a legal framework for cryptocurrencies and set up the Virtual Assets Regulatory Authority in March 2022, taking advantage of the growing interest in cryptocurrencies. The country has become a hub for blockchain and crypto innovation, with several blockchain and crypto startups setting up shop in the country. The UAE has also been working on a central bank digital currency (CBDC) called “digital dirham,” which is expected to be launched in 2022. The country’s progressive regulatory efforts in the crypto space have attracted several crypto firms to set up shop in the country.
Coinbase’s expansion plans
Coinbase’s expansion plans come at a time when the exchange is facing regulatory scrutiny in the US. The exchange has been at loggerheads with regulators in the US over its lending product, which the regulators claim is a security. Coinbase has been trying to expand its business globally to reduce its reliance on the US market. The exchange has been expanding its business in Europe and Asia, and the UAE could be the next destination for the exchange. Coinbase’s expansion plans in the UAE could help the exchange tap into the growing demand for cryptocurrencies in the region.
Conclusion
Coinbase is considering the UAE as a potential hub for its international operations, with its progressive regulatory efforts in the crypto space, a clear rule book, business-friendly environment, and strong customer protections. The exchange is looking to expand its licensing and availability of its cryptocurrency exchange in the UAE, acting as a bridge between Asia and Europe. Coinbase’s expansion plans in the UAE could help the exchange tap into the growing demand for cryptocurrencies in the region. The UAE has become a hub for blockchain and crypto innovation, with several blockchain and crypto startups setting up shop in the country.
