Coinbase Wins Regulatory Approval in Italy

UTC by Kofi Ansah · 3 min read
Coinbase Wins Regulatory Approval in Italy
Photo: Unsplash

The Organismo Agenti e Mediatori’s amendment to its rules also follows the European Union’s ground-breaking regulations which seek to tame a volatile “Wild West” cryptocurrency industry.

Coinbase Global Inc has secured approval from Italian financial regulators which will allow it to continue to serve customers in Italy, the company said in a blog on Monday.

The latest announcement comes after the Organismo Agenti e Mediatori (OAM) added a new criterion that mandates all cryptocurrency trading or custody companies to comply with the criteria before continuing to offer services in Italy.

The Organismo Agenti e Mediatori (OAM) governs financial agents and credit brokers in Italy as well as implements anti-money laundering controls. According to the OAM’s website, it can gather and exchange information provided by cryptocurrency firms on their clientele and operations with anti-mafia and anti-terrorism authorities in Italy.

The Organismo Agenti e Mediatori’s amendment to its rules also follows the European Union’s ground-breaking new regulations which seek to tame a volatile “Wild West” cryptocurrency industry. The new rules come after the EU revealed that crypto assets are largely unregulated globally, with national operators in the EU only required to show controls for combating money laundering.

Representatives from the European Parliament and the EU, on June 30, reached an agreement on the Markets in Crypto assets (MiCA) regulation, stating that cryptocurrency firms will now need a license and client protection to produce and sell digital tokens in the European Union.

Stefan Berger, a German lawmaker who led negotiations, after the meeting stated “Today we put order in the Wild West of crypto assets and set clear rules for a harmonized market. The recent fall in the value of digital currencies shows us how highly risky and speculative they are and that it is fundamental to act.”

The landmark regulation also confirmed the EU’s role as a standard-setter for digital issues, the EU states said. “Crypto-asset service providers will have to respect strong requirements to protect consumers’ wallets and become liable in case they lose investors’ crypto-assets,” they added.

Nana Murugesan, Coinbase’s vice president for international and business development, stated in the blog post that the company is in the process of strengthening its presence across Europe. “Our goal is to grow our customer base by launching the Coinbase suite of retail, institutional, and ecosystem products,” he stated.

Murugesan added that building a constructive relationship with regulators in every jurisdiction in which the company operates is vital as Coinbase marches toward its mission of increasing economic freedom in every corner of the world.

“Gaining this regulatory approval is a testament to our close collaboration and positive working relationship with the Italian financial regulators,” he said.

Coinbase rival, Binance, the world’s largest cryptocurrency exchange, also secured regulatory approval with the OAM in May to work in Italy.

Business News, Cryptocurrency news, News
Kofi Ansah
Author Kofi Ansah

Crypto fanatic, writer and researcher. Thinks that Blockchain is second to a digital camera on the list of greatest inventions.

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