CoinBase to Open First BitCoin Exchange in the U.S.

By on February 5, 2015


The extremely intriguing but volatile virtual currency, BitCoin, looks to have scored a huge victory for its progress worldwide. A company called CoinBase Inc., which is a startup backed by investments from the NYSE, will be opening the first licensed exchanges on U.S. soil. This announcement is huge for the virtual currency which has been heavily criticized for its lack of regulation by a central government and its sharp decrease in value from as much as $1200 per unit in 2013 to as low as $240 per unit in recent months. Despite that criticism, we feel that this announcement will give the currency the push it needs to be perceived as another legitimate common currency. As of right now, most exchanges and activity takes place overseas but with this move, we will definitely see a big jump in the currency’s popularity as well as its acceptance from large American companies. Did you know that there are already 82,000 companies that accept BitCoin? And that includes household names such Overstock.com and Expedia.com.  Hopefully this move adds more big names to the list.

CoinBase Inc. will be setting up locations in 24 states across the country, including New York and California. They have been working for about a year now to attain the proper regulatory approval. They will make their profits by taking 0.25% from most transactions but will kindly waive fees for their first two months of operation. The exchanges will initially be limited to users in the U.S., but there are plans for expansion overseas if this move pans out.