Coinbase to Launch Crypto Spot Trading Beyond the U.S.
Coinbase Global is expanding its international cryptocurrency exchange platform to offer spot trading of top coins like Bitcoin and Ethereum. The new spot crypto trading pairs with the USDC stablecoin and will be launched on Thursday, according to Bloomberg. The launch initially focuses on institutional investors.
The move comes as Coinbase and other major crypto exchanges face scrutiny from the US Securities and Exchange Commission (SEC) over registration and compliance issues. With the regulatory outlook uncertain in the US, Coinbase sees growth potential in overseas markets.
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Coinbase says both spot and derivatives trading are important
“It’s really important to have both spot and derivatives trading side by side,” said Greg Tusar, head of institutional product at Coinbase. “They help each other and ensure there’s a deep and liquid market.”
Expanding beyond the US Launching international spot crypto trading marks Coinbase’s latest move to diversify globally. Tusar said some institutional investors “are wary of trading on US venues” given the unsettled regulatory environment and high-profile SEC lawsuits against majors like Kraken and Binance. Building up the non-US exchange could attract more business from global institutions.
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Coinbase and its CEO, Brian Armstrong, have always voiced for better regulatory clarity for cryptocurrencies in the US. However, the regulators have been steadfast in cracking down on major cryptocurrency players.
Binance recently paid $4.3 billion in US penalties related to anti-money laundering violations. Its legal troubles have dented its dominance while allowing rivals to gain market share. Kraken recently agreed to pay $22 million to settle the lawsuit brought by the New York state back in March.
