The world is watching as the U.K takes its final steps out of the European Union (EU). Brexit uncertaintylooms large on whether the country will leave the union with a solid deal in place or no deal at all with Boris Johnson’s latest maneuvers pointing towards the latter. Leaving the EU without a deal on October 31st is set to be detrimental to the country’s finance industry and
The economic and regulatory vagueness on the consequences of a no deal Brexit is causing a number of cryptocurrency firms, including U.S largest crypto exchange, Coinbase, to look for alternatives elsewhere away from the U.K.
Coinbase Set to Move Operations to Firm in EU.
Coinbase transition out of the U.K has been going on for some time, as the exchange prepares for the worst scenario. Earlier in August, the exchange announced they had cut ties with Barclays, ending one of the most prestigious partnerships in the cryptocurrency industry. Well, the exchange looks to move its European customers operations elsewhere in Europe, in case the worst happens.
Coinbase sent out an email on September 1st, warning users that CB Payments, a U.K.-based e-money institution, will no longer be able to provide payment services in case of a no-deal Brexit. The end of the partnership between the two will however not affect any operations on Coinbase. The exchange is looking to transfer its operations to licensed operator in the EU.
Email sent out to U.K Coinbase customers on the possibility of CB Payments ending their partnership with the exchange in case of a no-deal Brexit (Source: Coinbase)
“In light of this, we plan to transfer your current relationship with CB Payments, Ltd. to another licensed Coinbase entity within the E.U.,” the company said in the email.
Following the abrupt ending of a 15-month relationship with Barclays, Santander Bank is showing signs of ending its services for its Coinbase U.K customers. Brexit has a huge role to play is the divorces happening in the cryptocurrency exchange as it aims to follow regulations. October 31st will be a big day for Bitcoin, and the cryptocurrency industry in Britain.