Coinbase obtains a VASP license from Ireland’s central bank
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Coinbase, one of the largest cryptocurrency exchanges by trading volumes, has received the green light from the Central Bank of Ireland. The approval will allow Coinbase to continue providing services across Europe and worldwide.
Coinbase gets a VASP license in Ireland
The VASP license obtained in Ireland will cover two Coinbase entities: Coinbase Europe Limited and Coinbase Custody International Limited. The two entities provide crypto-related services in Ireland.
Coinbase Europe is an entity that offers crypto trading services to customers based in Europe. On the other hand, the Coinbase Custody International exchange will offer cryptocurrency custody services to European institutions.
The VASP registration obtained by Coinbase will ensure that the exchange complies with the Criminal Justice Money Laundering and Terrorist Financing Act 2010. The firm notes that abiding by the provisions of this act shows that it is setting high standards of compliance.
With the VASP license, it will also be possible for the Ireland Central Bank to review firms and guarantee that they have implemented the best anti-money laundering and counter-terrorism financing measures. Moreover, the operations of Coinbase in Ireland will be spearheaded by the exchange’s new country director, Cormac Dinan.
Cormac comes with extensive experience in the industry. He has worked with financial service firms and fintechs for over 20 years, which makes him a perfect fit for this role. Cormac will be tasked with overseeing the operations of Coinbase in Ireland and adopting the firm’s strategy to achieve scalability using new technology and operational efficiencies.
While addressing Coinbase operations, Cormac said that the exchange was among the most trusted and secure. “Creating an environment that champions innovation while strengthening trust in crypto is something I am really eager to progress,” Cormac added.
Coinbase reaches a $100M settlement with New York regulator
Coinbase recently settled with the New York State Department of Financial Services (NYDFS). The settlement was reached after the regulator completed an investigation into Coinbase’s compliance program.
In an announcement published on January 4, NYDFS said that Coinbase would pay $50 million as a fine for failing to comply with the financial services and banking laws in New York. Additionally, the exchange would invest another $50 million to strengthen its compliance program.
The regulator noted that Coinbase had many compliance deficiencies related to anti-money laundering (AML) laws. The regulator has also reported issues related to the process used by Coinbase to register new users and monitor transactions. The New York regulators noted that Coinbase allowed its customers to create accounts without completing the necessary background checks, which violated the AML laws under the New York licensing regime.