Connect with us

coinbase

UK regulator fines Coinbase $4.5m over repeated services for ‘high-risk’ customers

Published

4 months ago

on



The British financial regulator has fined crypto exchange Coinbase $4.5 million for “repeatedly breaching” a requirement that prevented it from serving “high-risk customers.”

American cryptocurrency exchange Coinbase has been hit with a £3.5 million (around $4.5 million) fine as the company “repeatedly” broke a requirement that prevented it from offering services to “high-risk customers,” the Financial Conduct Authority said in a press release.

According to the regulator, CB Payments Limited, being part of the Coinbase Group, operates as a gateway for customers to trade crypto “via other entities within the Coinbase Group.” Despite entering a voluntary agreement with the FCA to restrict onboarding new customers classified as high-risk, CBPL breached it by onboarding and serving over 13,400 high-risk customers. The FCA estimates that more than 30% of these customers deposited nearly $25 million.

“These funds were used to make withdrawals and execute crypto transactions via other Coinbase entities, totaling approximately $226 million.”

The FCA

The British regulator attributed the breaches to CBPL’s “lack of due skill, care and diligence in the design, testing, implementation and monitoring of the controls,” adding that Coinbase’s “inadequacies” in the initial monitoring of compliance went undiscovered for “almost two years.”

A statement by the company said, “Coinbase remains committed to high standards of regulatory compliance, and this means partnering with regulators when it comes to compliance and other areas. We are always willing to acknowledge when we fall short, and to make improvements – which is what we have done here.”

Following the news, Coinbase shares plunged nearly 5%, according to data from Google Finance.



Source link

Related Topics:
Continue Reading

24/7 Cryptocurrency News

Coinbase Brings Bitcoin to Solana with cbBTC

Published

2 hours ago

on

November 7, 2024

By


Coinbase has just announced cbBTC, the very first Bitcoin-backed token on Solana. The newly minted SPL token is backed 1:1 by Bitcoin and held in Coinbase custody. It provides an easy way for users to access BTC directly on the Solana blockchain.

According to the announcement on X, cbBTC by Coinbase brings the power of Bitcoin onto Solana’s high-speed network, expanding the availability of BTC to decentralized applications and traders worldwide.

Bitcoin Now Accessible on Solana with Coinbase’s cbBTC

Coinbase has officially launched cbBTC on the Solana blockchain to increase access to Bitcoin within Solana’s fast-growing DeFi ecosystem. cbBTC, issued as an SPL token, is backed 1:1 by native Bitcoin held by Coinbase.

The addition will join the variety of other wrapped options for Bitcoin on the chain. Some include tBTC, WBTC via Wormhole, and soon-to-be-listed zBTC and sBTC. This further rounds out the Bitcoin offering on Solana.

On the first day, it was integrated into major DeFi platforms, including Jupiter Exchange, Meteora, Kamino Finance, Jito Sol, PhoenixTrade, DriftProtocol, Raydium, Orca, Save Finance, ManifestTrade, and Loopscale Labs, where it also presents users with most of the liquidity and collateral opportunities presented on Solana’s DeFi applications.

In the meantime, Solana (SOL) price appears poised for a breakout as bullish momentum gains traction. It also lifts the cryptocurrency to a three-month high. Some experts think it could soon reach $300 and surpass BNB token.

cbBTC Making Inroads in Global Crypto Markets

On September 12, Coinbase introduced the cbBTC customers in Singapore, Australia, the UK, and the US – apart from New York. This is its wrapped Bitcoin product, first available on Ethereum and Base. It is fully backed at a 1:1 ratio by Bitcoin and held in Coinbase custody.

One more notable thing is that cbBTC will be operated without order books or trading pairs dedicated explicitly to itself within the Coinbase platform. This is how it makes its usage seamless over multiple chains.

According to CryptoQuant, cbBTC has emerged as the third most used wrapped Bitcoin asset in just one week. The token has leapfrogged long-standing competitors such as Huobi BTC, HBTC, and renBTC, RENBTC to compensate for lost ground in the wrapped Bitcoin market.

✓ Share:

Teuta Franjkovic

Teuta is a seasoned writer and editor with over 15 years of experience in macroeconomics, technology, and the cryptocurrency and blockchain industries.

Starting her career in 2005 as a lifestyle writer for Cosmopolitan, she expanded into covering business and economy for several esteemed publications like Forbes and Bloomberg.

Influenced by figures like Don and Alex Tapscott and Laura Shin, Teuta embraced the blockchain revolution, believing crypto to be one of humanity’s most crucial inventions.

Her fintech involvement began in 2014, focusing on crypto, blockchain, NFTs, and Web3. Known for her excellent teamwork and communication skills, Teuta holds a double MA in Political Science and Law.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading

Bitcoin

Bitcoin (BTC) Price Hits $76K as Crypto Liquidations Soar, Coinbase (COIN) Rockets 30% Higher on Trump Sweep

Published

18 hours ago

on

November 7, 2024

By



“It’s hard to think how the election outcome could have landed better for the industry, and expectations of key regulatory improvements are likely to build in the coming months and quarters,” David Lawant, head of research at crypto prime brokerage FalconX, said in a Wednesday report. “Such clarity could open room for additional crypto ETF products, covering the main crypto assets and potentially also a broader crypto index, and give entrepreneurs and investors more comfort in U.S. token launches.” However, Lawant warned of short-term risks in the meanwhile, which may include “last-minute enforcement actions by departing officials.”



Source link

Continue Reading

coinbase

Fairshake discloses $78m crypto donation war chest

Published

3 days ago

on

November 4, 2024

By



Crypto leaders and Silicon Valley giants have boosted Fairshake’s funds for the U.S. 2026 mid-term election cycle, even as America prepares to decide its next president.

The crypto super PAC Fairshake has raised $78 million from blockchain supporters and businesses for mid-term lobbying in 2026, according to CNBC.

U.S. mid-term elections, held two years into a president’s term, determine many congressional seats, potentially favoring digital asset regulations. Coinbase and Andreessen Horowitz are among the backers funding pro-crypto candidates in Congress.

America’s largest centralized crypto exchange, Coinbase, pledged to donate $25 million. Earlier, crypto.news reported that a16z crypto committed $23 million to Fairshake, as announced by managing partner Chris Dixon.

Crypto industry firms and blockchain-friendly companies have contributed a total of $170 million to Fairshake, a super PAC founded by over a dozen entities. Fairshake’s numbers, along with other crypto-aligned PACs, made up nearly 50% of corporate donations for the 2024 general elections.

A16z, Coinbase, Jump Crypto, and Ripple donated most of Fairshake’s $170 million crypto lobbying war chest this cycle. Fairshake has spent around $135 million, targeting legislators and state policymakers.

Long-term crypto lobbying commitments floated on hours before the final voting between Republican Donald Trump and Democrat Kamala Harris for president. On prediction platforms like Polymarket, Trump had a higher winning probability at 57.9% against Kamala’s 42.3%. But national polls implied a tight race between the rivals.

Presidential election results may be announced on Nov. 5. However, protracted vote counting could cause delays. Polymarket’s presidential contract crossed $3.1 billion volume as traders placed stoppage time wagers.

The largest presidential prediction market will resolve when the Associated Press, Fox, and CNBC all declare a single winner. If not, Polymarket’s betting pool would remain open until the inauguration in January.



Source link

Continue Reading
Advertisement [ethereumads]

Trending

    wpChatIcon