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After being caught in the crossfire conducted by the Securities and Exchange Commission, COINBASE embarked on an adventure for new challenges and has already defined a home to continue its overseas business. It is none other than Bermuda.
The American cryptocurrency trading giant already has a license to operate in the sunny country and it seems that the Gary Gensler phenomenon is taking effect, leading Coinbase, which was warned last March that it could face a crack down from the regulator, to establish a new base in
Coinbase's adventure does not end in the paradise country, but there are also rumors that Brian Armstrong's team is also seeking to obtain a license to operate in Abu Dhabi, where it is making efforts to register an exchange.
However, some believe that the multinational company's new adventure will not have the same success as the company has in the American soil, but due to the scrutiny carried out by the SEC, there is no room for maneuver in the American territory and the company has to continue its work where regulations are less tight, and it seems that the first indications suggest that Bermuda and Abu Dhabi are Coinbase's current targets.
It should be noted that the chairman of the Securities and Exchange Commission is conducting a tug of war with cryptocurrency companies operating in America and has already led US to close its doors in Uncle Sam's land. The crypto operator was sanctioned by the regulator after claiming that the company had been conducting a scheme so that all coins listed on the platform would not be caught trading securities, a trend that has been going on since 2014.
Not only the platform, but also the former CEO of the company led other companies to awaken and start looking for new domiciles to carry out the business since the situation is not easy to digest on American soil.
, Brian Armstrong was asked at a conference in London, England, about the possibility of moving the HQ outside the US to which he replied that nothing was off the table and that anything was possible.
This phenomenon may lead to the EXODUS of more brokerage firms operating in the US seeking places where there is more ease of implementation to continue the business, as the SEC is determined to pursue all those it considers to be operating outside the law, leading registered companies even on NASDAQ like Coinbase, to flee in order to avoid drastic consequences from the American regulator.
One thing is certain, the Gary Gensler effect is creating a stampede of cryptocurrency companies to more welcoming regions, which also transfers the power of potency from the US in the field to others, almost annihilating the possibility of the country maintaining the status of crypto Hub, thus handing over the trophy to those who are interested in accommodating these companies.
Someone tell Gensler that he is handing over the trophy to the opponents on a platter before it's too late.
