Major The states-based cryptocurrency exchange Coinbase has established an entity in Republic of ireland to expand its crypto custody services to European institutions.

According to a Coinbase annunciation published on January. 30, the new entity is called Coinbase Custody International and is based out of Dublin.

The house's services will be the same as those provided by Coinbase Custody in improver to taking over all the staking activities performed by the substitution.

Coinbase Custody initially began offer staking for select cryptocurrencies in March 2019, and expanded that service to international the following Nov.

The advantages of a local operation

While Coinbase Custody has been serving European clients in the United Kingdom, Switzerland, Frg, Finland and the Netherlands since 2018, a new dedicated entity allows for completely localized service.

Per the announcement, this will bring the advantages of local staff, localized service-level agreements and clearer compliance with Eu police:

"Europe is our fastest growing geographic segment and our international launch is a direct result of client demand. By offering our services from the same region in which our clients are located, it's our goal that they will do good from greater legal and regulatory clarity."

Coinbase also said that, over the coming months, information technology plans to add support for more cryptocurrencies and features to its international custody service.

Furthermore, Republic of ireland boasts some of the lowest corporate income taxation levels in Europe which, despite the protestations of lawmakers to the contrary, has earned information technology a reputation as a tax haven. Indeed, the country has the third-lowest corporate income tax rate among OECD countries as of 2019.

Growing demand for custody

Equally cryptocurrencies solidify their position as a new financial asset class, demand for services such as crypto asset custody is increasing.

Rohan Barde, a research and innovation manager at manufacture skillful association Blockchain Zoo, explained that custody services are needed to attract institutional investors who wish to reduce risk and comply with regulatory standards.