Coinbase CEO Brian Armstrong called on the crypto industry to enact clear, comprehensive legislation and warned that the United States is approaching cryptocurrency’s “5G moment.”Exclusive period interview In an interview with Yahoo Finance, he emphasized that if immediate action is not taken, the United States may lose its position in areas he considers crucial.
Cryptocurrency Faces ‘5G Moment’
Armstrong described the current regulatory environment as one marked by “enforced regulation” by the SEC, which he viewed as “harassment” of crypto startups as subpoenas are issued without transparent guidelines.
“It’s kind of like our 5G or semiconductor moment, five years from now, we’re going to be thinking, if we don’t act now, how are we going to bring this back to land?” Armstrong said, highlighting the potential long-term impact of regulatory inertia.
He disclosed productive conversations with senior government officials and legislators, noting that there was consensus across both political factions on the importance of addressing this emerging area. “I think there is general consensus and understanding on both sides of the aisle that this is an important issue,” the Coinbase CEO said. He emphasized that there is widespread recognition of the urgent need to prevent potential damage to U.S. interests and prevent the industry from replaced. offshore.
Despite the seeming common ground, Armstrong acknowledged the difficulties inherent in the political process and disagreements that remain on various aspects, including state and federal paths for stablecoins. However, he expressed a flexible stance on behalf of the industry, saying: “I think there are a range of reasonable places where these rules can land. I’d be fine with any of them. I just hope there are clear rules.”
The Coinbase CEO also commented on the House Financial Services Committee’s market structure bill, refuting speculation that the bill was defeated in the Senate. He mentioned optimistically the ongoing efforts of Senators Gillibrand and Loomis and speculated on potential integration with their legislative initiatives.
He expressed concern about lingering legislative uncertainty, warning that if the situation continues, the issue will ultimately be decided by a court ruling, which could potentially be inconsistent given the SEC’s recent record in past cases. Some lawmakers have inconsistent visions.
Coinbase’s path forward
Armstrong expressed a sense of reassurance regarding Coinbase’s trajectory in the U.S. given recent legal decisions. “As I mentioned, the SEC has gone 3-0 in the past three judge decisions, so we feel very good about our case,” he shared. This optimism stems from key decisions such as Ripple’s The judge in the case determined that certain underlying assets were not securities. “Multiple judges have reached this conclusion, and it is a key fact in our case,” Armstrong added.
He further dissected comments made by SEC Chairman Gensler at yesterday’s congressional hearing, suggesting that there is broad consensus on the unique responsibilities that the CFTC may bear on the SEC. “SEC Chairman Gensler shared something during today’s hearing, which is that he believes the CFTC should have authority, the administration said, and now he’s finally saying that,” he observed. “Some of the bills with bipartisan support say the same. They lay out a clear path for when the CFTC and SEC will come into play.”
He joins Yahoo Finance Live from Washington, D.C., to discuss the push for regulatory certainty in the cryptocurrency space. Full interview: pic.twitter.com/8fb5RXoUd5
— Yahoo Finance (@YahooFinance) September 27, 2023
As of press time, COIN stock price is $71.52.
Featured image from Time, chart from TradingView.com