Coinbase, the US-listed cryptocurrency exchange giant, has acquired the Cypriot unit of BUX (formerly Stryk) and renamed it Coinbase Financial Services Europe. Financial tycoons learned.
Is Coinbase looking into CFDs?
With this acquisition, Coinbase now has a Cyprus Investment Firm (CIF) license, which allows it to offer contracts for difference (CFD) products. In addition, the cryptocurrency exchange can certify this Cyprus license to provide financial services in other European Economic Area (EEA) member states.
The Cyprus Securities and Exchange Commission (CySEC) registry confirms that the domain “coinbase.com/international-exchange/europe” has been approved by the regulator, although it is not yet live. Although there is no official confirmation, Coinbase appears to be targeting professional and institutional clients with its offerings under a Cyprus license.
Coinbase’s interest in BUX’s Cyprus unit appears to be focused on acquiring a license and operational infrastructure rather than focusing on its previous customer base. According to earlier reports Financial tycoonsBUX has transferred its Cypriot clients to AvaTrade, another CFD broker.
The deal appears to have been completed in October last year, as the Belgian Financial Services and Markets Authority (FSMA) register shows that the company’s name was changed from Bux Europe Ltd to Coinbase Financial Services Europe Ltd on October 11, 2024.
Financial tycoons reached out to BUX and Coinbase for more information about the acquisition but had not received a response at the time of publication.
Coinbase is not the first cryptocurrency exchange to show potential interest in CFDs. In November, Crypto.com confirmed the acquisition of Fintek Securities, an Australian-licensed CFD broker. Likewise, Bybit holds a valid Mauritius license, which allows it to offer Forex and CFD instruments.
BUX sale completed
Headquartered in the Netherlands, BUX provides investment services to European retail clients. Its core business was acquired by Dutch bank ABN AMRO last year with assurances that BUX would continue to operate independently.
The UK arm of BUX, which also offered CFDs, was sold to UAE-based APM Capital. The FCA-regulated entity has since been renamed APM Markets but has yet to resume its services. Financial tycoons It was previously reported that Joshua Owen was appointed CEO of the British company.
