Coinbase CEO Discusses US Crypto Regulation

Coinbase CEO Discusses US Crypto Regulation – Coinbase’s CEO, Brian Armstrong, discussed potential approaches to crypto regulation in the U.S., mentioning an increasing influx of institutional investors seeking reliability. He also raised the prospect of a change in SEC leadership in 2024 or beyond during an interview with Yahoo Finance on Friday.

Responding to a question about the timing and nature of crypto regulation in the U.S., the Coinbase boss described: “It’ll happen in one of a few ways. So, one way is the courts. The courts can be the one to provide the clarity regardless of the outcome of the case. Creating case law is a way to get there if the regulators aren’t going to provide it.”

- Advertisement -

People Also Read: Coinbase Launches Crypto Lending Platform for US Institutions

“Another way to do it is through Congress. Congress is very engaged in this now,” he stressed, noting that a few crypto bills are being considered in Congress. They include the FIT for the 21st Century Act and the Clarity for Payment Stablecoins Act. Moreover, Armstrong noted that the Commodity Futures Trading Commission (CFTC) “could step up and assert more authority.”l”

He opined: “I also think there’s a possibility we’ll just get a different SEC chair in 2024 or beyond.” The existing head of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, has faced substantial criticism for his enforcement-focused approach to overseeing the cryptocurrency sector. Although Gensler has repeatedly urged crypto trading and lending platforms to register with the SEC, Brian Armstrong pointed out that Coinbase attempted to adhere to these guidelines, but the SEC has created insurmountable obstacles.

Regarding trading volumes on Coinbase, Armstrong revealed: “It’s come down a bit.” However, he emphasized: “But we’re not like unused to these cycles. So we see when prices go up, obviously, more retail interest. What’s interesting in this down market is that we’ve actually seen there’s been a kind of a flight to quality.” He continued: “So we are seeing more institutions come in and sign up, go through our onboarding process.”

People Also Read: FTX Looking to Recover Millions Paid to Athletes and Sports Clubs

“And they’re not necessarily moving huge amounts of capital in yet, but they are onboarding.” Concerning the factors institutional investors are awaiting before investing substantial funds in crypto, the Coinbase boss opined: “Maybe it’s that blockchain has become more scalable, maybe some regulatory clarity, maybe a court case happens. And I think we’ll start to see different amounts of capital actually coming in at that point.”

- Advertisement -


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

More From Evoclique