In a bid to strengthen its international expansion strategy, Coinbase considers Singapore as a viable option.
As the United States Securities and Exchange Commission (SEC) keeps denying clarity, crypto exchanges now consider offshore expansion.
US SEC Negates Need For Regulatory Clarity
In a court ruling last Monday, the US SEC contradicted the fact that more clarity is necessary on crypto rules.
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Following that, Coinbase CEO, Brian Armstrong, decided to move offshore.
Notably, he has now confirmed no clarity on US crypto regulations.
Coinbase considerations for the expansion and location of its headquarters are towards Europe, United Arab Emirates, and the Bahamas, respectively.
Coinbase Solidifies Singapore Expansion Strategy
The crypto exchange reinforces its international expansion strategy in response to the United States regulator’s crackdown.
The firm launched Coinbase International Exchange in the Bahamas a while back to provide derivatives trading.
Also, it recognizes the UAE (United Arab Emirates) as a possible strategic hub.
Moreover, Coinbase secured an in-principle approval from the MAS (Monetary Authority of Singapore) in October 2022.
After acquiring the license, Coinbase initiated several products and services for its Singapore clients.
The exchange launched a no-fee USDC purchase with SGD (Singapore Dollar).
That way, the USDC order books will be available on advanced staking and trading for XTZ, ETH, ATOM, ADA, and SOL.
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The move came after research by YouGov and Coinbase disclosed that up to 25% of Singaporeans believe that crypto is the future of finance.
Furthermore, about 32% of the Singaporeans studied hold or formerly owned crypto.
However, price volatility and security concerns were pointed out as limitations for non-crypto asset owners.
According to Singapore Coinbase director Hassan Ahmed,
“USDC will become a major component of a new financial model.
Focusing on the future, Coinbase believes that stablecoins such as USDC have more unexploited potential in its major commercial use cases”.
He further says that USDCs enlarge financial inclusion via cost reduction and increased efficiency.
Moreover, they allow cheaper and faster global money transfers and work as a fiat onramp within the Web3 digital ecosystem.
