Kraken, a leading cryptocurrency exchange, underscores its commitment to European expansion with its recent decision to acquire Coin Meester B.V. (BCM), one of the most reputable crypto brokers in the Netherlands. The move reflects Kraken's ongoing endeavor to broaden its European operations in alignment with regional regulatory requirements.
Kraken's Planned Acquisition of Dutch Crypto Broker
Kraken revealed its acquisition plans of Coin Meester B.V (BCM) last Thursday, marking a significant step into the Dutch market. Since its inception in 2017, BCM has established a strong presence as a reliable crypto broker in the Netherlands, granting users the ability to purchase, trade, and stake over 170 different kinds of cryptocurrencies.
This strategic acquisition is expected to enhance Kraken's foothold in the Netherlands and offer BCM's existing clientele an upgraded product suite, more liquidity, superior security protocols and a round-the-clock live customer support framework.
Strategic Value of The Acquisition, According to Kraken CEO
David Ripley, the CEO of Kraken, opined that the acquisition of BCM will yield a substantial position for Kraken in the Dutch market and extend an enriched product range to BCM's customers. He emphasized the tremendous potential of the Netherlands, noting its innovative culture and high crypto adoption rates which make it an ideal destination for Kraken's European development plans.
The decision to expedite growth in Europe has been influenced by the European Commission's introduction of the Markets in Crypto-Assets (MiCA) regulatory framework. MiCA fosters a favorable environment for crypto industry stakeholders to enhance their commitment to the region while offering consumers access to competitive products and services.
Kraken's Compliance and Growth Strategies in Europe
Demonstrating a strong commitment to flourishing within the European regulatory boundaries, Kraken is making concerted investments to acquire VASP (virtual asset service provider) licenses in Ireland, Italy, and Spain, while simultaneously seeking registrations in several other European domains.
In doing so, Kraken re-affirms its commitment to adherence and conformity to European regulatory norms. The proposed acquisition, however, is contingent upon critical closing conditions being met, which include the acquisition of the necessary regulatory approvals.
Your Opinion Matters
We would love to hear your thoughts on Kraken's recent strategy to acquire a Dutch crypto broker, further solidifying its expansion plan in Europe. Feel free to share your opinions in the section below.
Frequently Asked Questions
Are You Ready to Invest in Gold?
This will depend on how much money and whether you were able to invest in gold at the time that you started saving. You can invest in both options if you aren't sure which option is best for you.
Gold offers potential returns and is therefore a safe investment. This makes it a worthwhile choice for retirees.
While many investments promise fixed returns, gold is subject to fluctuations. Its value fluctuates over time.
This does not mean you shouldn’t invest in gold. This just means you need to account for fluctuations in your overall portfolio.
Another advantage of gold is its tangible nature. Unlike stocks and bonds, gold is easier to store. It's also portable.
You can always access gold as long your place it safe. There are no storage charges for holding physical gold.
Investing in gold can help protect against inflation. It's a great way to hedge against rising prices, as gold prices tend to increase along with other commodities.
You'll also benefit from having a portion of your savings invested in something that isn't going down in value. Gold usually rises when stocks fall.
You can also sell gold anytime you like by investing in it. Just like stocks, you can liquidate your position whenever you need cash. You don't have to wait for retirement.
If you do decide to invest in gold, make sure to diversify your holdings. Don't place all your eggs in the same basket.
You shouldn't buy too little at once. Begin by buying a few grams. Add more as you're able.
Don't expect to be rich overnight. It's not to get rich quickly, but to accumulate enough wealth to no longer need Social Security benefits.
Even though gold is not the best investment, it could be an excellent addition to any retirement plan.
How to open a Precious Metal IRA
It is important to decide if you would like an Individual Retirement Account (IRA). Once you have decided to open an Individual Retirement Account (IRA), you will need to complete Form 806. You will then need to complete Form 5204 in order to determine which type IRA you are eligible. You must complete this form within 60 days of opening your account. Once this is done, you can start investing. You can also contribute directly to your paycheck via payroll deduction.
To get a Roth IRA, complete Form 8903. Otherwise, the process is identical to an ordinary IRA.
To qualify for a precious-metals IRA, you'll need to meet some requirements. The IRS requires that you are at least 18 years old and have earned an income. Your earnings cannot exceed $110,000 per year ($220,000 if married and filing jointly) for any single tax year. You must also contribute regularly. These rules apply regardless of whether you are contributing directly to your paychecks or through your employer.
A precious metals IRA can be used to invest in palladium or platinum, gold, silver, palladium or rhodium. However, you can't purchase physical bullion. This means that you will not be allowed to trade shares or bonds.
There are two major drawbacks to investing via an IRA in precious metals. First, they don't have the same liquidity as stocks or bonds. This makes them harder to sell when needed. Second, they don't generate dividends like stocks and bonds. Also, they don't generate dividends like stocks and bonds. You will eventually lose money rather than make it.
How much should precious metals make up your portfolio?
To answer this question, we must first understand what precious metals are. Precious metals are those elements that have an extremely high value relative to other commodities. This makes them highly valuable for both investment and trading. Today, gold is the most commonly traded precious metal.
There are also many other precious metals such as platinum and silver. The price of gold fluctuates, but it generally remains stable during times of economic turmoil. It also remains relatively unaffected by inflation and deflation.
In general, prices for precious metals tend increase with the overall marketplace. They do not always move in the same direction. The price of gold tends to rise when the economy is not doing well, but the prices of the other precious metals tends downwards. Investors expect lower interest rates which makes bonds less appealing investments.
When the economy is healthy, however, the opposite effect occurs. Investors are more inclined to invest in safe assets, such as Treasury Bonds, and they will not demand precious metals. They become less expensive and have a lower value because they are limited.
It is important to diversify your portfolio across precious metals in order to maximize your profit from precious metals investments. Because precious metals prices are subject to fluctuations, it is best to invest across multiple precious metal types, rather than focusing on one.
What is a gold IRA account?
Individuals who want to invest with precious metals may use the Gold Ira accounts, which are tax-free.
You can purchase gold bullion coins in physical form at any moment. You don't have a retirement date to invest in gold.
Owning gold as an IRA has the advantage of allowing you to keep it forever. Your gold assets will not be subjected tax upon your death.
Your heirs will inherit your gold, and not pay capital gains taxes. You don't need to include your gold in your final estate report, as it isn't part of the estate.
To open a IRA for gold, you must first create an individual retirement plan (IRA). Once you've done so, you'll be given an IRA custodian. This company acts like a middleman between the IRS and you.
Your gold IRA custodian will handle the paperwork and submit the necessary forms to the IRS. This includes filing annual reports.
Once you've set up your gold IRA, it's possible to buy gold bullion. Minimum deposit required is $1,000 You'll get a higher rate of interest if you deposit more.
Taxes will apply to gold that you take out of an IRA. You'll have to pay income taxes and a 10% penalty if you withdraw the entire amount.
However, if you only take out a small percentage, you may not have to pay taxes. However, there are some exceptions. If you take out 30% of your total IRA assets or more, you will owe federal income taxes and a 20 percent penalty.
You should avoid taking out more than 50% of your total IRA assets yearly. You could end up with severe financial consequences.
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- Saddam Hussein’s InvasionHelped Uncage a Bear In 1989 – WSJ
- Are you interested in keeping gold in your IRA at-home? It's Not Exactly Lawful – WSJ
Tips for Investing with Gold
Investing in Gold is one of the most popular investment strategies worldwide. Because investing in gold has many benefits. There are several options to invest in the gold. Some people purchase physical gold coins. Others prefer to invest their money in gold ETFs.
Before buying any kind of gold, you need to consider these things.
- First, make sure you check if your country allows you own gold. If it is, you can move on. You can also look at buying gold abroad.
- The second thing you need to do is decide what type of gold coins you want. There are many options for gold coins: yellow, white, and rose.
- The third factor to consider is the price for gold. It is best to start small and work your way up. When purchasing gold, diversify your portfolio. Diversify your investments in stocks, bonds or real estate.
- Last but not least, remember that gold prices fluctuate frequently. Be aware of the current trends.
By: Kevin Helms
Title: Kraken Boosts European Footprint With Acquisition of Dutch Crypto Broker
Sourced From: news.bitcoin.com/kraken-to-expand-its-presence-in-europe-with-acquisition-of-dutch-crypto-broker/
Published Date: Sat, 07 Oct 2023 02:30:04 +0000