- Coinbase registers at the Indian FIU and resumes crypto trading after being banned before being banned.
- Coinbase introduces Proof of Reserve for CBBTC to ensure the full Bitcoin support in the middle of increasing concerns about the stability of the cryptoma market.
Coinbase hat itself At India’s Financial Intelligence Unit registered. This step opens the way to offer crypto trade services in the USA with more than one billion inhabitants. Coinbase will probably return to one of the largest cryptoma markets after it withdrawn in 2022 due to regulatory pressure.
Coinbase returns to India
This registration is not only about compliance with regulations, but also a clear indication that Coinbase wants to stay in India. High taxes and the government’s pressure had previously prompted Coinbase to hire the company in the country. But Coinbase has decided to return because the Indian cryptor room developed and young investors show more and more interest. John O’Loghlen, Regional Managing Director for APAC at Coinbase, released the following statement:
“We have committed to building up in markets that believe in the potential of crypto and on-chain innovations.
India today represents one of the most exciting market opportunities in the world, and we are proud to deepen our investments here in full agreement with the local regulations. ”
John O’Loghlen notes that India is a market with great potential. The company endeavors to expand its presence in Asia with a sophisticated plan and to comply with the Indian regulations to combat money laundering. Conversely, this step also puts you in hard competition with already established stock exchanges such as Binance and Coindcx.
Not a scarcity, no imbalance: CBBTC reserves
For his wrapped bitcoin CBBTC, Coinbase has developed a Proof of Reserve Scheme to gain the trust of the users. As CNF reported, the system should guarantee that every CBBTC used is fully covered by real Bitcoin.
With reserves of 26,525.15 BTC, Coinbase has an overall offer of 26,461.05 CBBTC after the latest figures. In other words, there are no signs of reserve shortage or imbalances – something that is absolutely important in view of the increasing concerns of users about the stability of the cryptoma markets.
Stricter crypto regulations arouse fears in the industry
Although the announcement of the stock exchange nopy sounds promising, it does not mean that coin base is out of the tailor. Only on Monday the share fell by 10 % to $ 197.61 after it had already fallen by 20 % this year. Investors were disappointed that the crypto summit of the White House did not produce any new strategies to support the industry.
Coinbase also failed in the quarterly restructuring of the S&P 500 and thus emphasized companies such as Doordash and TKO Group.
Coinbase also has to deal with legal obstacles. John O’Loghlen pointed out that Australia, a potential market for coinbase, is now enforcing stricter regulations for crypto companies.
Although interaction with the authorities is of crucial importance, he claimed that a too demanding approach could drive companies out of business. If Indian legislation becomes too restrictive, Coinbase could encounter similar difficulties.
On the other hand, as already mentioned, US Senator Cynthia Lummis submitted an amicus curiae document that supports the case of Coinbase against the SEC. The lawsuit, which is currently in the second round before the US Court of Appeal, contributes to the unclear about the path of crypto regulation in this country.
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