In exchange for working together, Bitpanda will add Coinbase Exchange to its list of approved liquidity providers.
Bitpanda Technology Solutions, which is based in Vienna, has signed a licensing deal with Coinbase. This makes Coinbase a liquidity provider for Bitpanda.
According to the announcement, the partnership between the two companies will allow “Coinbase to offer one of the most scalable Investing-as-a-Service infrastructures to their institutional clients, such as banks and financial institutions outside of the United States.”
With this strategic collaboration, Coinbase will be able to offer its institutional clients outside the U.S. a fully regulated trading environment. As part of the deal, Bitpanda will also add Coinbase Exchange to its list of trusted liquidity providers. This lets institutions use Bitpanda’s legal licenses and KYC-as-a-service to make it easier for them to get into the European market while keeping their own brand identity.
Bitpanda’s co-founder and co-CEO, Eric Demuth, said on Twitter that the deal was made because both companies had the same goal for the future of digital assets and were committed to trust, transparency, and security.
Since Coinbase is still having trouble with regulations in the U.S., the Bitcoin exchange is trying to grow outside of the U.S. On May 18, Coinbase started “Coinbase One,” a subscription service with no trading fees that will be available in 35 countries.
Also, on May 2, Coinbase publicly announced the launch of the Coinbase International Exchange (CIE), a new platform for institutions to trade crypto derivatives.