One of the top crypto exchanges in the market, Coinbase recently achieved yet another milestone, as it was able to obtain an operating license in Italy.
The announcement was made on Monday by the crypto exchange via its website. It disclosed that the regulatory authorities in Italy, OAM (Organismo Agenti e Mediatori) had several requirements.
According to Coinbase, crypto service providers have to fulfill these requirements if they want to operate in Italy.
The exchange was pleased to disclose that it had been successful in meeting these requirements and had gotten the green light.
Even though the market conditions have turned highly unfavorable, Coinbase is not willing to back down from its goal of expanding its operations in the top countries in Europe.
The platform noted in its recent announcement that it was going to accelerate its efforts to obtain a license in as many jurisdictions as possible.
However, it disclosed that it was fully committed to adhering to the regulatory framework of the countries.
Nana Murugesan, Coinbase’s VP of International and Business Development, said that it was important for the exchange to have a constructive relationship with regulatory authorities of every region in which it operates.
The Vice President said that it would continue to do so to achieve economic freedom in every corner of the globe.
He further said that Coinbase had managed to get a license in Italy, primarily because of the relationship it had developed with the country’s regulatory authorities.
Relationship with regulators
Murugesan went on to say that Coinbase’s goal was to achieve the same kind of relationship with other European regulatory authorities, as it continues to expand its operations to other countries.
He said that this would enable the exchange to provide its products with the products they need via a secure and trusted platform in the crypto space.
Before getting approval in Italy, Coinbase had been able to offer its services in the United Kingdom, Ireland, Germany, and a handful of other countries in the region.
Now, the exchange is expanding its reach even further, despite the turmoil that has recently been seen in the crypto market.
It is because of the extreme conditions in the crypto market that Coinbase had had to lay off about 18% of its workforce this year.
But Murugesan indicated that the exchange would be hiring someone for the role of supervisor to oversee its European operations.
While the company is trying to control costs by laying off its workforce, it is continuing to spend on its expansion efforts.
This appears to be taking a toll, as the crypto exchange saw its revenue for the first quarter of the year drop by almost 27%.
The exchange derives most of its revenue via the fee charged on crypto transactions and due to the bear market, its trading volume has declined significantly.
Moreover, its share price has also taken a blow and it has also been accused by the SEC of offering unregistered securities, a claim it has vehemently denied.