Coinbase, one of the biggest crypto exchanges in the western hemisphere, has announced it is opening a new office in Dublin, Republic of Ireland. Why is it doing this when it already has a London office to serve its European customers? The short answer is Brexit.
Coinbase is insulating itself against the increasing likelihood of a messy UK exit from the European Union by having another base in Ireland, which remains an EU member. For the moment, Coinbase’s European HQ will remain in London, but if the environment there becomes hostile to the company’s EU ambitions, then Dublin is its back up.
Zeeshan Feroz, who leads Coinbase’s UK operations, said, “”It is a plan B for Brexit. As we plan for all eventualities, it’s important that we continue servicing our customers across Europe, and Ireland would be our preferred choice there if it comes to it.”
Ireland welcomes Coinbase
Martin Shanahan, who leads IDA Ireland, the country’s inward-investment agency, acknowledged the news by saying, “”We looks forward to welcoming Coinbase into the Irish economy, and helping them access our talented pool of young professionals from the technology and financial services sectors.” Feroz is in agreement about accessing talented Irish employees and Michael D’Arcy, Ireland’s Minister for Financial Services and Insurance commenting on the Coinbase move said: “I am delighted that Coinbase is opening an office in Dublin. This decision highlights the competitive offering and attractiveness of Ireland for financial services.”
Ireland could become a blockchain hub
Ireland has gained a reputation in Europe as a hub for the tech industry. This is partly due to its low corporate taxes and its proactive approach to bringing this type of business into the country. For example, in June, IDA Ireland started an initiative to promote blockchain investment and development in the country.
Also, in May, academics at the National University of Ireland Galway urged the government to promote blockchain in the country, arguing that the technology’s potential impact on economic growth could transform business and government operations. Ireland is also a signatory to the European Blockchain Partnership, created by the European Commission in 2018.