Coinbase Triumphs in UK: First Major Crypto Exchange to Gain FCA Approval

Coinbase, a leading global crypto platform, has secured a significant victory in the UK by obtaining its Virtual Asset Service Provider (VASP) registration from the Financial Conduct Authority (FCA). This approval makes Coinbase the largest registered crypto exchange in the UK, enabling it to offer both cryptocurrency and cash services to investors and traders in the country.

The FCA's approval is a major achievement, as only 14% of applicants manage to secure the green light. Coinbase's CEO for the UK, Keith Grose, expressed excitement about the new opportunities this approval brings, allowing the company to introduce innovative products and services to its UK customers.

Coinbase's journey to FCA approval began in 2018 when its subsidiary, CB Payments Ltd. (CBPL), started offering e-money services. The company spent the last six months working diligently to meet the regulatory requirements needed for the VASP registration.

With this approval, Coinbase can now communicate directly with the FCA regarding its operations and plans, eliminating the need for third-party approvals. This streamlined process will enable Coinbase to grow more efficiently in the UK market and potentially roll out new features like staking and stablecoin services.

Coinbase's Vice President for Europe, Daniel Seifert, is thrilled about the company's role in driving growth, jobs, and investment across the UK through this new technology era.

Meanwhile, crypto adoption in the UK has surged, with ownership jumping from 10% to 12% in just a year. This means around 8.8 million adults now own crypto, contributing to the 65 million Europeans who are part of the crypto wave.

In a separate development, Uphold, a cryptocurrency trading platform, has resumed its staking services in the UK following a regulatory shift. The UK Treasury recently amended the Financial Services and Markets Act 2000 (FSMA), clarifying that arrangements for qualifying crypto asset staking are not considered collective investment schemes. This amendment, effective from January 31, has allowed platforms like Uphold to reintroduce staking services to their UK customers.

Uphold CEO Simon McLoughlin stated that the company had previously suspended staking services due to regulatory uncertainties. However, the UK Treasury's latest amendment has provided welcome certainty, clearing the way for regulated