Does the Coinbase E-License and Barclays Partner Matter?

1135 4 1 1 1 1 (2)


Cryptocurrencies have been under some rather intense scrutiny from the U.K. with talk of regulations and bubble accusations. Needless to say, banks are staying away...well, most of them. Coinbase has opened an account with Barclays, the first major deal between a crypto exchange and a U.K. bank. In addition to this, the Financial Conduct Authority has granted the exchange an E-money license allowing it to issue digital currency that can be used for card transactions, or bill payments in 23 EU member nations. This is all part of the Faster Payments Scheme.

Paving the way for crypto?

What all this means for the end user is, much faster transaction times, greater accessibility, legitimacy and more security. Zeeshan Feroz, U.K. CEO at Coinbase had this to say, "U.K. customers will benefit from faster, safer and seamless bank transfers. We will start with a pilot, giving a small number of institutional users access to Faster Payments." Now to be clear E-money is different from cryptocurrency so it isn't quite clear what form this will take. Perhaps something like the Shift card or an extension of it. In any case, E-money comes with some stricter regulations, which is good, or bad, depending on your leaning.

On the matter of security, Coinbase made a statement, "We are committed to making sure customer funds are always secure and this update means that our e-money operations have safeguards and operational standards at par with other regulated financial institutions. An example of this is segregation of client funds, where all customer fiat balances will be separated from Coinbase's funds and kept in separate bank accounts."

For the market and BTC, this is bullish news and could catalyze a bit of an uptick in the short term despite an overall down market. Now that one of the largest banks in the U.K. has given a thumbs up to crypto, other financial institutions may begin to follow suit. For most crypto investors this should be seen as a positive moment for the general acceptance and integration of cryptocurrencies in everyday life. Others will see this as financial institutions moving another inch forward in their "war on crypto". 

Disclosure:

I have received no additional compensation other than the Ethereum that Hade Technologies pays to produce Exclusive Content.

Comments (2)

image
  • John R
  • ,  Contributor
  • 17 March 2018, 06:03 pm

Some bullish news is needed after all the bad news coming out lately

   0   Reply (0)   Follow(437)  

    image

    faster transaction times, greater accessibility, legitimacy and more security are all good things

       0   Reply (0)   Follow(437)  

      Recent Updates

      •   
        Mar 6, 2019 11:15 PM

        DENTSPLY SIRONA Inc - Consumables Revenue

      •   
        Mar 6, 2019 11:15 PM

        DENTSPLY SIRONA Inc - Europe Revenue

      •   
        Mar 6, 2019 11:15 PM

        DENTSPLY SIRONA Inc - United States Revenue

      •   
        Mar 6, 2019 11:15 PM

        DENTSPLY SIRONA Inc - Rest of World Revenue

      •   
        Mar 6, 2019 11:15 PM

        DENTSPLY SIRONA Inc - Technologies and Equipment Total Net Sales ex. PM sales Revenue

      •   
        Mar 6, 2019 11:15 PM

        DENTSPLY SIRONA Inc - Technologies and Equipment Revenue