According to a Seeking Alpha report published on September 10, 2024, Brian Armstrong, Co-Founder and CEO of Coinbase Global (NASDAQ: CEO), stressed the need for clear regulation to advance the cryptocurrency industry. Armstrong noted that regulatory clarity remains one of the biggest hurdles for the crypto space, and that addressing this issue 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 noted that the United States could benefit from passing legislation similar to that already passed in Europe and other regions. He expressed optimism that such measures would unlock massive capital for the crypto industry. He said that “if we can get legislation passed in the United States, we will see a massive influx of capital.”
The report underscores Armstrong’s assertion that the US cannot afford to delay regulatory developments any further, as most G20 countries have already moved forward with their own cryptocurrency legislation. Armstrong is confident that the US will eventually follow suit, ensuring that the country remains competitive in the global cryptocurrency landscape.
In addition to Armstrong’s views on regulation, the report mentions that cryptocurrency is becoming a major talking point for political candidates in the United States, especially in the current presidential election cycle. Armstrong noted that some candidates are making cryptocurrency regulation a central part of their platforms, reflecting the importance the topic has taken on.
Seeking Alpha also reported that Armstrong views any form of legislative passage as a positive sign for the industry. He pointed to the rise of Bitcoin exchange-traded funds (ETFs) as an example of how regulatory clarity can foster market growth and stability.
Coinbase CFO Alesia Haas also weighed in, saying that cryptocurrencies need to be 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 ultimately lead to lower transaction fees. According to Haas, the cryptocurrency market is not yet fully commoditized and fee compression won’t happen until the ecosystem reaches a more mature stage.
At the time of writing (2:26 PM UTC on September 10), Coinbase shares are trading at around $151.08, down 4.66% on the day.
Featured image via Coinbase