Coinbase Explores India Comeback Amid Regulatory Shifts and Market Optimism

US Crypto Exchange Coinbase Eyes India Comeback

Coinbase, a US-based cryptocurrency exchange, is in discussions with Indian regulators to reenter the market after halting operations in 2023. According to Cointelegraph, the company is engaging with India’s Financial Intelligence Unit (FIU) to explore its return. A spokesperson for Coinbase stated that while they are excited about the opportunities in India, there is no announcement yet regarding FIU registration. This development coincides with Coinbase’s Chief Legal Officer, Paul Grewal, joining the US-India Business Council (USIBC) board to foster commercial partnerships between the two nations.

Coinbase had previously ceased operations in India in September 2023, asking users to withdraw funds. The company faced regulatory challenges, including the suspension of its United Payments Interface (UPI) services in April 2022, just days after launching locally. Despite these setbacks, Coinbase’s venture capital arm has invested in Indian crypto exchanges like CoinSwitch Kuber and CoinDCX. The potential reentry into India signals a renewed focus on the market as regulatory conditions evolve. Source: Cointelegraph (https://cointelegraph.com/news/coinbase-india-comeback-quit-2023).

Coinbase Global recently posted an earnings report that exceeded analysts' expectations, showing significant year-on-year revenue growth. According to The Independent, the company reported an earnings per share (EPS) of $4.68 for the last quarter of 2024, far surpassing the expected $1.81. Transaction revenue rose by 172% to $1.6 billion, with total revenue reaching $2.3 billion compared to $953.8 million a year earlier. Despite this, Coinbase's share price experienced volatility, dropping 5% in pre-market trading before stabilizing later in the day.

Analysts remain divided on the stock's future, with price targets ranging from $275 to $420. CEO Brian Armstrong expressed optimism, citing a "golden age for crypto" and regulatory improvements in the US. However, challenges such as fluctuating trading volumes and international regulatory pressures remain. The company aims to expand its institutional investor base and capitalize on the growing adoption of cryptocurrencies. Source: The Independent (https://www.independent.co.uk/business/coinbase-share-price-bitcoin-cryptocurrency-b2698308.html).

Gaorong Ventures Invests $30M in HashKey Group

Hong Kong-based HashKey Group has secured a $30 million investment from Chinese venture capital firm Gaorong Ventures, as reported by CoinDesk. The investment was made at a pre-money valuation exceeding $1 billion, bringing the post-money valuation close to $1.5 billion. HashKey, established in 2018, operates two licensed cryptocurrency exchanges in Hong Kong and engages in venture funding and asset management.

Despite China's stringent bans on cryptocurrencies, Chinese investors continue to back the sector. HashKey had previously raised $100 million in a Series A funding round at a $1.2 billion valuation. This latest investment underscores the growing interest in crypto-related ventures, even in regions with restrictive policies. Source: CoinDesk (https://www.coindesk.com/business/2025/02/14/hashkey-group-gets-usd30m-investment-from-chinese-vc-gaorong-ventures-report).

Coinbase Launches Support for Intellectual Property Blockchain

Coinbase has introduced trading support for the native token of Story, a layer-1 blockchain focused on intellectual property (IP). According to The Daily Hodl, Story aims to revolutionize IP management by enabling rights holders to upload, monetize, and set terms for their IP through a decentralized platform. The project addresses challenges posed by generative AI, which often uses IP without proper attribution or compensation.

The native IP token debuted at $2.08 but saw an 18% drop on its first trading day. Coinbase has labeled the token as "experimental" due to potential risks like price volatility. Story's innovative approach seeks to create a programmable market for IP, offering new opportunities for ownership and monetization. Source: The Daily Hodl (https://dailyhodl.com/2025/02/14/top-us-crypto-exchange-coinbase-launches-support-for-new-asset-tied-to-intellectual-property-focused-blockchain/).

Bybit No Longer Operating Illegally in France

After more than two years of regulatory challenges, crypto exchange Bybit has been removed from France's AMF blacklist, as reported by CoinDesk. Bybit's CEO, Ben Zhou, announced that the exchange had worked closely with French regulators to achieve compliance. The company now aims to secure a Markets in Crypto Assets (MiCA) license, which would allow it to operate across 30 European Economic Area nations.

Previously, Bybit faced restrictions in France, with the AMF advising users to cease using the platform. The exchange has also made regulatory progress in other regions, including India, where it recently obtained a license after paying a $1 million fine. Bybit's efforts highlight its commitment to adhering to global regulatory standards. Source: CoinDesk (https://www.coindesk.com/policy/2025/02/14/crypto-exchange-bybit-is-no-longer-operating-illegally-in-france).

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