Coinbase CEO Brian Armstrong has praised the United Arab Emirates (UAE) for its forward-thinking approach to cryptocurrency regulation. In a recent tweet, Armstrong commended the UAE for being the first country to have a dedicated crypto regulator, publishing a clear rule book, and creating a business-friendly environment with strong customer protections.
Armstrong’s comments come amid the ongoing crypto crackdown by the Securities and Exchange Commission (SEC) and speculations that Coinbase may be eyeing a move to the Middle East.
The UAE has attracted many crypto companies with favorable regulations and a business-friendly environment. In February, the Central Bank of the UAE announced plans to launch a digital currency, which could further boost the country’s crypto industry.
Is Coinbase Moving To The UAE?
The UAE’s positive stance towards cryptocurrency has been reflected in its regulatory approach. In 2019, the UAE’s Securities and Commodities Authority introduced initial coin offerings (ICOs) regulations, requiring issuers to register with the regulator and meet certain disclosure requirements. The country’s central bank has also issued guidelines for crypto asset activities, including anti-money laundering (AML) and counter-terrorist financing (CTF) measures.
Moreover, as reported by Bitcoinist, Coinbase has already announced the launch of a new global exchange to expand its operations beyond the American market. The move comes as the company faces legal troubles with the US Securities and Exchange Commission, which has been investigating Coinbase’s operations for potential violations of securities laws.
The new exchange, which is set to be launched in the coming months, will allow Coinbase to expand into new markets and provide its services to customers worldwide. The company has not yet announced which countries the exchange will be available, but it is expected to expand its operations significantly.
Great meeting with Minister of Economy H.E. Abdulla Bin Touq Al Marri in UAE @Economyae pic.twitter.com/1zIH5dZFeB
— Brian Armstrong (@brian_armstrong) May 8, 2023
Furthermore, Armstrong’s visit to the UAE highlights the growing interest in crypto from investors and regulators in the Middle East. As more countries worldwide adopt a favorable stance towards cryptocurrency, further growth in the industry might likely be seen, with more companies looking to expand their operations to new markets.
Coinbase CEO Slams SEC’s “Lone Crusade” Against Crypto
Coinbase has been in the spotlight recently, facing regulatory challenges from the US Securities and Exchange Commission. The regulatory body served the company with a Wells Notice earlier this year, leading to concerns about the future of the popular exchange.
In a recent interview with CNBC, Brian Armstrong has been vocal about his frustrations with the SEC, accusing the regulatory body of being on a “lone crusade” against the cryptocurrency industry. Armstrong has also criticized SEC Chair Gary Gensler, accusing him of taking an “anti-crypto view.”
Despite these challenges, Armstrong has stated that Coinbase will not leave the US market. Per the report, Armstrong rowed back on his suggestion last month that the company may be forced to move its headquarters overseas. Armstrong emphasized that Coinbase remains committed to providing its services to customers in the US and worldwide.
Furthermore, Armstrong has suggested that the company may relocate outside the US if regulatory challenges persist. Speaking at a fintech conference in London in April, Armstrong said that the US “has the potential to be an important market in crypto” but is currently not providing the necessary regulatory clarity.
Armstrong pointed to more “thoughtful approaches” to cryptocurrency regulation in other parts of the world, such as the European Union, where comprehensive crypto legislation has already been passed. He also praised the UK for its welcoming attitude towards the industry, noting that it has become a key market for Coinbase.
Featured image from Unsplash, chart from TradingView.com