Key Takeaways
- Reportedly, Coinbase is actively discussing its non-US-based expansion plans with international clients.
- Earlier this month, Coinbase launched the “Go Broad, Go Deep” international strategy focused on carrying out new initiatives in countries outside the US.
Coinbase-the largest US-based crypto exchange is reportedly looking to expand its operations outside the United States. As per a Bloomberg report, the exchange is actively discussing its non-US-based expansion plans with international clients.
Reportedly, as per sources, Coinbase’s discussions with market makers and investment firms touched on the possibility of establishing an alternative venue — away from the main Coinbase marketplace — for global clients.
In response to a media house query, a Coinbase spokesperson said that the exchange is accelerating work on its “Go Broad, Go Deep” strategy, which includes expanding its presence on every continent except for Antarctica. The spokesperson reportedly added that the company’s international expansion drive will focus on high-bar regulatory jurisdictions.
Under the already launched Go Broad, Go Deep strategy, Coinbase is working on launching new products and services, including bespoke projects, to strengthen its international markets. The exchange also is working on engaging with leading government officials and regulators to help advance their plans to support and regulate crypto.
If Coinbase does expand outside the United States, it would prove to be a big competition to Binance, which is currently the leading cryptocurrency exchange in the world. The latest development comes amid the United States Securities and Exchange Commission increasingly cracking down on crypto firms.
Earlier this year, when crypto exchange Kraken was asked to discontinue the offering of its staking service by the SEC, Coinbase had issued a notice to customers stating that its staking services would continue, despite the regulatory scrutiny. In its annual report, Coinbase has suggested that it might consider legal action if regulators determine that a crypto on its platform is a security.
On top of the regulatory pressures, Coinbase has not had a good run in the last few months owing to market volatility and big firms filing for bankruptcy. In Q4, Coinbase posted a $557 million loss and saw its revenue tumble 75% as trading volumes plunged. The firm also cut 20% of its staff in January after laying off around 18% of its staff last June.
