The German offshoot of American cryptocurrency trading firm, Coinbase Global Inc has been ordered by the Federal Financial Supervisory Authority known as BaFin to ensure it achieves a proper business organization.
For the order that came into effect at the end of October became necessary as the regulator said it found a number of inconsistencies in some aspects of the company’s operations when it conducted an audit of its financial statement.
BaFin specifically noted that Coinbase is directly violating the standards put forth by the German Banking Act.
The press release issued by the regulator made reference to Section 25a (1) of the Act, a provision that mandates companies to maintain adequate risk management procedures. Additionally, the section of the law also requires firms tagged as GmbH to maintain adequate staffing, as well as putting adequate emergency processes bordering on its information technology system and…
