- The CEO of Coinbase, Brian Armstrong, suggests that there should be only one regulator looking over the sector
- The CEO further pointed at the amazement that the United States alone had 53 regulators looking over various tangents of the sector & highlighted the need for consolidation.
The regulation is the most complicated part in the lives of crypto traders & enthusiasts, while some sail through the harsh storms of complex language & structures laid out by the regulators. At the same time, some sink deep into the various fragments created by multiple regulators in a section.
In a recent earning’s call of the coinbase exchange, the CEO Brian Armstrong said that the company had met with various regulators, recently the SEC chair Gary Gensler which turned out to be a productive one.
The CEO pushed for a single regulator citing the fact that there were way too many regulators unnecessarily complicating things. The CEO names various regulators like commodity futures trading commission (CFTC) or the Security Exchange Commission (SEC) and of course the state regulators validating money transmission licenses & lending licenses.
As coinbase serves more than 100 countries, Brain Armstrong stated that the United States was the only country to have 53 regulators looking over the same sector. The CEO of the famous exchange goes on referring to the crypto regulatory proposal that coinbase had drafted & published in October. The Digital Asset policy proposal (DAPP) as pushed by the CEO, signifies having one federal regulator in the US.
Brian clarified that it wasn’t necessary to create a new entity as it can be underneath the existing ones. However, it was essential to consolidate the system a bit to enable more innovations in the sector. Brian Armstrong further stated that having too many regulators in a sector hinders the growth of startups in the scene.
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The Chief Financial Officer (CFO) of Coinbase, Alesia Haas mentioned that the company’s goal was to focus the regulator on crypto in a constructive zone. She also reinstated Brian’s intentions & said that having a single regulator, who understands the technology & helps to bring new principles for financial regulation would be great.
It would be interesting to see how the United States acts on cryptocurrencies further, will it consolidate the frameworks & bring everything under a single body, or will it break up into more parts, addressing various tangents, thereby making the processes more tedious & complex but with a firm grip around the sector.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.