Coinbase Tired Of Dealing With 53 U.S. Regulators

2021-11-15 21:21:00
Too Many To Handle

One of the most popular crypto exchanges in the world, Coinbase, says that the 53 crypto regulators in the U.S. are just too much. As a result, the crypto exchange already held several meetings with a list of reputable regulators. The end goal – establishing a single federal regulatory body for the entire United States.

Brian Armstrong, the CEO of Coinbase, says that they already had several ‘productive’ meetings with different regulators. In fact, due to the number of regulators, the meetings are quite frequent.

We’ve met with a number of different regulators out there … on a regular basis … I had a meeting last week with the chairman of the SEC, Chair (Gary) Gensler, which I think was very productive.Brian Armstrong | CEO of Coinbase

In addition to the crypto regulators, the CEO also states that there is a long list of different state regulators as well. Some of these include authorities that issue both lending and money transaction licenses.

There’s a variety of different regulators in the United States. There’s the CFTC (Commodity Futures Trading Commission), the SEC (Securities and Exchange Commission), the Treasury. And then, of course, we have state regulators as well on money transmission licenses and lending licenses.Brian Armstrong | CEO of Coinbase

What baffles the CEO of Coinbase the most, are the numbers. Especially the statistic that Coinbase has clients in over 100 countries, yet U.S. has 53 regulators alone.

It’s kind of amazing that we, Coinbase, have 53 regulators in just one country, the United States.Brian Armstrong | CEO of Coinbase
Establishing Single Authority

Just one month prior in October, Coinbase came up with a proposal containing a list of new regulations. And one of those regulations include the Digital Asset Policy Proposal that strongly recommends establishing a single federal crypto regulator in the U.S.

It could be underneath one of the existing regulators. It doesn’t have to be a completely new entity, but it’d be nice to consolidate it a bit and use that as a way to enable more innovation in this space.Brian Armstrong | CEO of Coinbase

Alesia Haas, CFO at Coinbase, confirms that the company focus is currently towards finding a permanent solution for the 53 regulators. Ms Haas also contemplates on the unique nature of the blockchain technology.

More specifically, she states that the new technology is quite different from the traditional financial methods. And that due to this factor, it can easily make the traditional banking services obsolete.

We think that having a single regulator, who really deeply understands the technology and then helps bring what the new principles for financial regulation in crypto look like, will be helpful.Alesia Haas | CFO at Coinbase

It remains to see whether Coinbase can manage to pressure the remainder of the regulators into creating one authority. And will some of the other crypto exchanges publicly support the most popular crypto platform in the United States.

Related Posts

Leave a Reply