BaFin Issues Warnings To Coinbase Germany For Alleged Business Violations

2022-11-9 02:24

Still, in line with its duty, BaFin has instructed Germany-based Coinbase to be mindful of its business dealings and organization. The warning came in light of a prior act of disorganization, which does not meet the firm’s organizational requirements. Moreover, such an act from the company does not comply with the law of the locality.

BaFin is the acronym for The Federal Financial Supervisory Authority in Germany. It is in charge of the country’s financial services regulations. BaFin’s major goal is to mitigate the occurrence of money laundering in the nation.

To carry out this task, the organization commits to overseeing payment service providers, pension funds, credit institutions, insurers, etc.

Briefing On Coinbase

Coinbase is a renowned digital currency exchange platform that is the first exchange for issuing free digital tokens.

Users on the platform can gain these free tokens by watching crypto videos and providing answers to a simple quiz. The quiz test on the platform usually follows a brief tutorial on understanding digital currencies. Afterward, users are credited with a specific cryptocurrency on their Earn accounts.

Cryptocurrency market trends in red zone | Source: Crypto Total Market Cap on TradingView.com

However, users need to meet certain requirements to participate in this test. Some of these requirements include completing and verifying personal information, basing in one of the eligible countries, and image verification.

Warning To Germany-Based Crypto Exchange Company

Although the aspect of the company’s organizational violation was not stated, BaFin cited that Coinbase Germany had several organizational deficiencies.

This is one of many quarries the crypto exchange has received from federal authorities. BaFin reported that Coinbase Germany had faced several investigations based on many other governmental jurisdictions.

The recent case, however, followed the audit of BaFin on the crypto exchange. Based on the result, it cited that Coinbase Germany has yet to have a consistent business organization throughout the areas the audit covered. This order was dated September 27, 2022, as per information from the BaFin statement.

Coinbase Plans To Expand To Europe

Notably, the crypto exchange is already making plans to expand its operations. Coinbase was already working on announcing its operations in the European market when the statement from the government authority emerged.

To pioneer the expansion to the European market, the crypto exchange hired Daniel Seifert. He is the operating officer at Solarisbank. While that is ongoing, the company recently got regulatory permissions to function in a couple of other countries; Netherlands and Italy.

Meanwhile, the company awaits operational licenses in two other nations, Spain and France. Amid the ongoing expansion of the U.S.-based company, its native token, $COIN, has witnessed some downturn recently.

Featured image from Pexels and charts from Tradingview.com

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Business Network Incubator (BNI) на Currencies.ru

$ 5.295E-5 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 0.00 %
Cегодня L: $0 - H: $0
Капитализация $0 Rank 99999
Доступно / Всего 0 BNI

bafin business coinbase warning came organizational organization

bafin business → Результатов: 12


Bitbond Small Business Loan Company Gets Legal Approval to Launch Security Token Offering (STO)

Small Scale Loan provider Bitbond is raising €3.5 million up in a Security Token Offering (STO) to help SMEs in Asia. This denotes the first STO to be endorsed by German administrative body BaFin. As a private venture involved in loan provision, Bitbond boasts of facilitating business loans worth over €13 million to support SMEs […]

2019-5-30 01:10