Tyler and Cameron Winkelvoss’ crypto exchange Gemini has hired advisers to consult on a move into the European market, the Financial Times reports.
“Gemini continues to explore potential jurisdictions around the globe to provide a best-in-class digital asset exchange and custodian which will enable growth and infrastructure to the entire digital asset community,” it says. “Although we have no immediate plans, we will always evaluate opportunities that allow the global economy to buy, sell, and store digital assets in a regulated, secure and compliant manner.”
An expansion into the UK market is beneficial for the European crypto scene due to the well-regulated and robust infrastructure of the exchange, experts believe. Currently, US-based Coinbase is the only exchange that allows trades from cryptocurrency to UK’s fiat currency, the pound sterling. Coinbase entered the UK market in early September for which it obtained an e-money licence from the UK’s Financial Conduct Authority. Gemini will also have to do this.
Gemini is not expected to face any obstacles when filing for the licence as it already has very strict Know Your Customer (KYC) and Anti-Money Laundering (AML) systems in place.
South Korea’s largest crypto exchange, Bithumb, is also preparing to launch a cryptocurrency exchange in the UK by the end of this year, which means that by 2019, the three exchanges will compete against eachother for dominance over the local crypto market.
Gemini has built a reputation since 2014 as a trustworthy cryptocurrency exchange that fully complies with state and federal regulations in the United States. In fact, it has always prioritised compliance working with local regulators to implement improved rules to govern the global crypto exchange market.
Approval in New York
The Winklevoss Twins’ exchange received approval this year from the New York Department of Financial Services (NYDFS) to operate in the state. Gemini integrated Zcash after extensive cooperation with local regulators.
“As a New York trust company, Gemini is, arguably, the most regulated digital asset exchange and custodian in the world,” says Zcash CEO Zooko Wilcox. “It is subject to rigourous regulatory oversight by the New York State Department of Financial Services and it is held to the highest level of fiduciary obligations and banking compliance standards and must adhere to all AML laws, KYC requirements, and consumer protections set forth by the Bank Secrecy Act, the New York Banking Law, and the NYDFS.”