While Binance is getting probed by different countries for unlawful business, its biggest rival is getting licenses. Just yesterday, the company Coinbase received a crypto custody license from Germany, and now can legally operate there. This also makes them the first crypto company to get approved by the Financial Supervisory Authority in Germany. For those who don’t know, Germany is a rich country and is the fourth largest in terms of GDP. So, Coinbase getting approved there is big news for the crypto industry.
Coinbase gets license
Germany has made it compulsory for crypto companies to apply for a license in order to do business in the country. Coinbase had applied for the same in mid of 2020 and a year after it has gotten the approval. Along with them, many others have applied too and we could soon see them getting approval from the company too.
Coinbase also plans to bring more services and products to the country and get a stronghold of the market. Since they were the first to be approved it is obvious that the trust will lie with them. The company also said that they worked really hard with the authorities to get the license. And now they will bring a superb experience to the customers they have there.
The importance of this!
To operate in the country they need for this license was obvious but that was not the main concern for us. Coinbase has now become a brand name in the crypto industry as XEROX became for photocopies. So, this approval in Germany will mean that the citizens of the country will invest in crypto without any difficulty. They will also trust the exchange as it was approved by the government themselves.
Another major thing is, this also makes crypto a legal entity in Germany. This move is likely to push other countries to recognize crypto as an asset. And as a crypto enthusiast, we can’t ask for anything more. Countries like India that are yet to accept the crypto revolution are most likely the biggest contenders of this.
What are your thoughts on Coinbase being able to legally operate in Germany? And do you think Binance will also try for a license after this? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.