Coinbase CEO urges Americans to back crypto stance

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Coinbase CEO urges Americans to back crypto stance

Cryptocurrency CEO Brian Armstrong is urging crypto enthusiasts in the U.S. to make their political views heard.

Armstrong and three other Coinbase executives in a Twitter Space Thursday encouraged Americans to urge their local Congressperson to adopt a pro-crypto stance, specifically through Crypto 435, a pro-crypto initiative coinbase launched in February.

The move came days after the SEC sent a letter to Coinbase that said the agency was planning to pursue an enforcement action against the company. The letter, entitled Wells Notice, asserted that Coinbase had violated securities laws. Coinbase is using cryptocurrency as a source of jobs and innovation, which America is most likely to face by letting the SEC run wild with enforcement action.

Coinbase's head of US policy, Kara Calvert, emphasised the advancement of digital asset innovation in the United States. The fact that there are 50 million Americans, about 15% of the population, suggest that crypto holders have power as a voting bloc.

Cryptocurrency chief policy officer Faryar Shirzad, coinbase's chief policy officer, said the US should work to stay on the cutting-edge of tech, whether it's biotech, semiconductors, AI, machine learning, or crypto.

Crypto is distinct in that it's founded on volatile assets that trade in global, public markets, without intermediaries. So far, these assets have been attractive to opportunists and scammers, leaving individual investors at risk, which is exactly what the SEC wants to prevent.

The SEC has been fiercely aggressive in the sector, effectively limiting its expansion into the U.S. by not providing clear regulatory guidelines.

Collins Belton, a famous lawyer in the digital asset industry, said SEC Chair Gary Gensler believes that most crypto assets are securities, that there's too much fraud in the space, and that there's not enough disclosure to make crypto safe for retail.

Belton also said there may be some political play influencing Gensler's actions, as enforcement activity may be seen favorably within the Biden administration.

ll see now over the next few weeks is Congress is going to step up, he said. ll see bills introduced, hearings held, possibly movement on pieces of legislation.