Brian Armstrong, the CEO of the renowned crypto exchange Coinbase, recently said that he is optimistic that the United States will eventually get “regulatory clarity,” which is crucial at the moment. He states:
“Eventually we get to the right outcome, even if it takes a while.”
Crypto Regulations isn’t “Rocket Science”: Coinbase CEO
After the United States Securities and Exchange Commission (SEC) sued Coinbase on June 6, Armstrong stated in an interview with the Wall Street Journal on June 11 that regulating cryptocurrencies isn’t “rocket science” and that it can be done effectively.
In response to the lawsuit, Armstrong said that he didn’t think those registrations were necessary for Coinbase to function. He explained:
“The assets that we do trade, those are commodities, so they don’t require those registrations […] we are trading on our exchange crypto commodities.”
Armstrong made reference to the exchange’s struggles obtaining a license even though he refrained from calling Coinbase a broker-dealer. “We don’t claim to be a broker-dealer, we have acquired a broker-dealer license that is still dormant because they won’t allow us to activate it,” he noted.
Optimism for More Transparent Regulations
He underlined the importance of the SEC vs. Coinbase litigation for the U.S. crypto market as a whole, expressing his optimism about more transparency and stopping the nation from “falling behind” the rest of the world. He believes that the crypto community will see entrepreneurs who left the U.S. come back. “They’ll say we won’t be attacked randomly or have incredibly high legal bills at any given moment,” Armstrong added.
According to the Coinbase CEO, the US is currently having a “turf war” between two regulatory agencies, in contrast to other nations, including the United Kingdom, which only has one financial regulator. It is important to note that the SEC, with whom the exchange has regulatory issues, has recently been sued by the exchange for regulatory uncertainty.