Crypto trading platform Coinbase has reportedly reached out to institutional clients about possible plans to set up a trading platform outside of the US, three people with direct knowledge told Bloomberg.
With crypto-friendly banks dwindling and regulatory scrutiny increasing, the potential move comes as no surprise. US regulators have been probing the platform’s nefarious dealings for years — the New York Department of Financial Services (NYDFS) slapped the firm with a $50 million penalty in January after an investigation found “long-standing failures” in its anti-money laundering compliance. According to NYDFS, these failures allowed serious criminals to move their crypto via the platform. Coinbase was also ordered to invest an extra $50 million in its compliance program.
Back in July, an investigation by the Securities and Exchange Commission (SEC) resulted in charging a former Coinbase manager, his brother, and his friend with insider trading. The SEC announced that same month it will open an investigation into the platform for potentially selling securities.
Source: https://protos.com/coinbase-reportedly-considers-overseas-expansion-amid-us-crackdown/