Coinbase Global (NASDAQ: CEO) Co-Founder and CEO Brian Armstrong stressed the need for clear regulation to advance the cryptocurrency industry, according to a report from Seeking Alpha published on 10 September 2024. Armstrong highlighted that regulatory clarity remains one of the greatest hurdles for the crypto space, and solving this would level the playing field for all participants. He believes that clear legislation would lead to a significant influx of capital into the cryptocurrency market.
Speaking at the Goldman Sachs Communacopia & Technology Conference, Armstrong pointed out that the U.S. could benefit from passing legislation similar to what has already been adopted in Europe and other regions. He expressed optimism that such measures would unlock massive capital for the crypto industry. He stated that “if we get legislation passed in the U.S., we’ll see a huge inflow of capital.”
The report noted Armstrong’s assertion that America cannot afford to delay regulatory developments much longer, as most G20 nations have already moved forward with their own crypto legislation. Armstrong is confident that the U.S. will eventually follow suit, ensuring the country remains competitive in the global crypto landscape.
In addition to Armstrong’s views on regulation, the report mentioned that crypto is becoming a significant talking point for political candidates in the U.S., particularly in the ongoing presidential election cycle. Armstrong highlighted that some candidates are making crypto regulation a core element of their platforms, reflecting how important the topic has become.
Seeking Alpha further reported that Armstrong sees any form of legislative adoption as a positive signal for the industry. He pointed to the rise of Bitcoin exchange-traded funds (ETFs) as an example of how regulatory clarity can foster growth and stability in the market.
Coinbase CFO Alesia Haas also weighed in, stating that crypto needs to become fully commoditized before industry costs can come down, as reported by Seeking Alpha. Haas explained that widespread adoption by banks and financial institutions is necessary for commoditization, which would eventually lead to lower transaction fees. According to Haas, the crypto market is not yet fully commoditized, and fee compression will not happen until the ecosystem reaches a more mature stage.
At the time of writing (as of 2:26 p.m. UTC on September 10), Coinbase shares are trading at around $151.08, down 4.66% on the day.
Featured Image via Coinbase
