Coinbase's move to Singapore: Potential impact on the U.S. Financial System
Coinbase has finally made the decision to move to Singapore. They accomplished this decision by signing a partnership with a tradFi – traditional finance – Giant Standard Chartered.
Singapore is going to experience a surprising new change in contrast to its previous anti-crypto efforts. The crypto regulators have given directions to restrict the flow of liquidity in the crypto market. They further directed the U.S. banks to avoid any business dealing with the crypto companies.
However, this decision of Coinbase is the initiation of new beginnings for crypto in Singapore. this partnership will allow the off-ramp and on-ramp of crypto for free to the users in Singapore. This means the users will be able to buy and sell the crypto with the local currency.
Ain’t no exchange without the approval of regulatory authorities
Coinbase made it pretty clear that stepping foot in Singapore is just the start of their global takedown. As it was comparatively easier to attain approval, Coinbase made its first move to Singapore. They also received approval from the Monetary Authority of Singapore to offer regulated Digital Payment tokens (DPT) services there.
Something New with the customer services
Moreover, Coinbase has also updated its customer service at the help center. Now they will provide learning material for around 200 cryptocurrencies in the market. All of these initiatives will prove helpful in growing the crypto market in Singapore. Slowly and steadily Singapore has also been embracing decentralized finance, finding opportunities in the crypto and blockchain industry.
How does The U.S. feel about it?
The U.S. does not seem to be much appreciative of this new initiative in the crypto world. As this news came at a time when the economic stability of the country is stumbling with such high inflation. In addition, it also seems like they might take an aggressive stance against this decision.
This initiative of Coinbase is a highlight of the development of the crypto market outside of the U.S. The crypto exchange also intends to use the native exchange platform of Singapore – Singpass – for crypto offerings to the customers.
Nonetheless, the Regulatory approval indicates Singapore’s inclination toward expanding the Crypto Market. Ultimately sooner or later the fear of missing out with catch up on everyone in the industry and they’ll all try and get indulged. Consequently, other countries in the Asian region or European countries might also look forward to following in the steps of Singapore.