Coinbase's Irish subsidiary fined approximately €3.25 million for violations related to customer fund protection and outsourcing regulations

According to Bloomberg, the Central Bank of Ireland has fined and reprimanded Coinbase Ireland Limited 3.252618 million euros, for violating customer fund safeguarding and outsourcing obligations under the 2011 Electronic Money Regulations between November 1, 2020 and August 19, 2025. The penalty was settled on October 21, with the original fine of approximately 4.6466 million euros reduced to the aforementioned amount via a 30% settlement discount, pending confirmation from the High Court to take effect. The Irish central bank stated that Coinbase’s Irish subsidiary relied excessively on its U.S. headquarters to implement safeguarding processes and compliance controls, lacked sufficient local capacity to continuously oversee customer fund management, had long-term underfunded safeguarding accounts, and had inadequate internal reporting and governance. A Coinbase spokesperson said the issues were voluntarily disclosed to the central bank by the company, and no customer funds were lost or inaccessible. This marks the second penalty for the company’s Irish entity; in November 2025, it was fined 21.5 million euros for anti-money laundering and transaction monitoring violations.