As it accelerates its international expansion, U.S. cryptocurrency exchange Coinbase has secured a crucial regulatory license in Singapore, the business announced on Tuesday.
The island nation’s central bank, the Monetary Authority of Singapore (MAS), has given Coinbase an in-principle clearance to offer regulated digital token products and services.
The regulatory certification of Coinbase comes as the cryptocurrency sector is still under pressure. Due to the negative performance of significant tokens like bitcoin and ether this year, the market’s worth has lost about $2 trillion.
The sector has become infected by the failure of significant projects and corporate bankruptcies. In June, Coinbase made the announcement that 18% of its staff would be laid off.
However, the American exchange has continued with its globalization and is looking to add staff in new European markets.
In Singapore, Coinbase has consistently made investments. The business declared Singapore would be one of its tech development hubs last year. The island nation serves as the focal point for Coinbase’s institutional investor-focused operations in the Asia-Pacific region.
“Gaining this in-principle approval from MAS is an important step, as we plan to launch our full suite of retail, institutional, and ecosystem products,” Coinbase said in a blog post on Tuesday.
15 different companies have received similar approvals from MAS as Singapore works to establish itself as a regulated international center for the bitcoin business.
The central bank of Singapore is still attempting to entice businesses to locate there, despite having issued warnings about the “speculative” risks associated with cryptocurrencies and looking to tighten regulations surrounding trading for retail investors.
