Coinbase has officially received approval from the United Kingdom’s Financial Conduct Authority (FCA) to operate as a registered virtual asset service provider (VASP).
In a statement released on February 3, the cryptocurrency exchange highlighted that this approval solidifies its position as the largest registered crypto trading platform in the UK.
With this authorization, the Nasdaq-listed exchange can now serve both retail and institutional clients while facilitating crypto-to-fiat transactions in one of its key international markets. The UK has emerged as Coinbase’s biggest market outside of its home base in the United States.
This approval marks the first time in 2025 that a crypto asset firm has been added to the FCA’s registry. The last firm to gain such approval was GSR Markets, which was added in December 2024.
Coinbase secured its UK regulatory clearance less than a year after the FCA concluded its review of Coinbase Payments. The investigation, which focused on what the company referred to as “unintentional breaches” of a voluntary agreement set in 2020, resulted in a £3.5 million ($4.3 million) fine due to compliance issues related to onboarding high-risk customers.
The UK, the world’s sixth-largest economy by GDP, is pushing to establish itself as a global leader in the crypto industry. The FCA aims to introduce a comprehensive regulatory framework by 2026 to support this vision.
An FCA survey from November 2024 revealed a growing interest in digital assets among UK investors, with 12% of adults now holding cryptocurrencies—an increase of 2% from the previous year. Additionally, average crypto holdings per investor grew from 1,595 British pounds ($1,964) to 1,842 pounds ($2,268).
Coinbase has been steadily expanding its European footprint, with its UK registration complementing existing licenses in Ireland and Germany. Furthermore, its Irish branch is recognized as a crypto service provider in the Netherlands and Italy.
Beyond Europe, Coinbase has set its sights on Southeast Asia. During the recent World Economic Forum in Davos, Switzerland, Coinbase CEO Brian Armstrong was spotted engaging in discussions with the Philippines’ finance secretary, Ralph Recto. The Philippines’ Department of Finance disclosed that Coinbase initiated the meeting to explore potential market entry in the country, where the company has been increasing its involvement.
Coinbase has already been supporting blockchain and stablecoin development initiatives in both the Philippines and Thailand. Additionally, a Coinbase-commissioned study examined public sentiment across five countries, including the Philippines, on the role of cryptocurrencies in enhancing financial systems.
The exchange is already operational in Singapore, having obtained regulatory approval in October 2023, as it continues to broaden its global presence.
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