Cryptocurrency exchange Coinbase has outlined an interesting strategy in the event of a no-deal Brexit.
The Brexit deadline is less than two months away on October 31, and if a deal can’t be struck by then, the United Kingdom will leave the EU in a potentially catastrophic hard exit.
This will have serious ramifications for a number of businesses across the UK, with the pound expected to continue its dramatic move to the downside in recent months.
Coinbase will also be directly affected as its e-money provider, CB Payments, is based in the UK. This means that customers will no longer be able to access their euro wallet until a partnership with a new company is arranged.
#Coinbase #Brexit #Crypto pic.twitter.com/bm3h767Ony
— Chihiro ♀ Cryptoclass‘17 (@CryptoChihiro) August 31, 2019
In an email to customers, Coinbase stated: “If the United Kingdom leaves the EU on October 31 without any withdrawal agreement in place, it is expected that CB Payments will no longer be able to provide you with e-money services, such as your euro wallet.
“In light of this, we plan to transfer your current relationship with CB Payments to another licensed Coinbase entity within the EU. The Coinbase services you receive will not be affected by this transfer.”
British Prime Minister Boris Johnson called a surprise cabinet meeting today with speculation mounting over a looming general election before Brexit.
As a result, the pound slumped back to $1.20 and currently sits on the brink of breaking yearly lows.
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