Coinbase and Bitpanda Jointly Secure Licensing Agreement

Recently, a popular crypto investment company Bitpanda based in Vienna has jointly secured a license with Coinbase.

The license will allow Bitpanda Technology Solutions to add Coinbase to its list of authorized liquidity providers. Coinbase will in turn provide its institutional clients outside the United States with a fully regulated trading infrastructure. 

Strategic Partnership Offers Diverse Benefits To Both Firms 

Bitpanda announced the strategic partnership with the second-largest crypto exchange on its blog. 

Also, Bitpanda stated its excitement about the development in its official tweet, referring to Coinbase as another Industry leader. Further, Bitpanda’s co-founder and co-CEO, Eric Demuth, shared the news on Twitter, highlighting reasons for partnering with Coinbase. 

According to Demuth, the partners joined hands due to their shared vision to ensure a bright future for digital assets and their mutual commitment to security, trust, and transparency. 

Notably, Coinbase is partnering with Bitpanda to offer regulated infrastructure to non-USA residents, just like financial institutions and banks. Based on the partnership, Coinbase will leverage Bitpanda’s regulatory licenses and KYC-as-a-service to streamline its expansion to European markets while maintaining its brand identity. 

On the other hand, Bitpanda disclosed that the collaboration would expand its already impressive partnership portfolio. 

Bitpanda Technology Solutions already partnered with “leading traditional bank Raiffeisenlandesbank NÖ-Wien, European mobile bank N26, German core banking provider Mambu, French money app Lydia, UK fintech Plum, and more.”

According to the firm, these partnerships enable it to cater to the increasing demand for “simplified investment opportunities.” As such, Bitpanda enables clients to integrate stocks, crypto, metals, commodities, and ETFs into their investment offerings. 

Secondly, Bitpanda stated that cooperating with Coinbase is a perfect choice, given their combined goal of ensuring that digital asset investment is simple, secure, and regulated. 

As such, Coinbase will introduce Bitpanda’s technological solutions to its growing list of institutional clients. Enabling them to utilize a European digital trading solution that embodies the targeted fundamental principles. 

Coinbase Expands Outside US Amid Regulatory Issues

The SEC has continued its effort to uphold compliance in the crypto industry through various enforcement actions. 

Coinbase has come under the scrutiny of the US SEC, first receiving a Wells Notice from the commission in late March due to its staking service “Coinbase Earn.” 

Coinbase’s announcement asked the SEC to establish a reasonable crypto rule in the US. But the commission responded with a legal threat. 

Since then, there has been a lot of back and forth between the SEC and Coinbase, with the exchange even responding to the commission on its Wells Notice. 

As a result of these issues, the crypto exchange has taken up the move to expand outside the US. It introduced an institutional platform for crypto derivatives trading Coinbase International Exchange (CIE), on May 2. 

Afterward, it launched a zero-trading-fee subscription service, “Coinbase One,” for 35 countries on May 18.  

Also, on April 19, Coinbase revealed it had received a regulatory license from the Bermuda Monetary Authority to operate legally in the country. As per the crypto exchange, Bermuda’s regulatory environment boasts a “high level of transparency, compliance, and cooperation.”