Armstrong believes that the future of cryptocurrency can move forward better when more pro-crypto legislators are in charge of matters.
Brian Armstrong, CEO of publicly traded US trading platform Coinbase Global Inc (NASDAQ: COIN) has defended for a more inclusive representation of pro-crypto individuals in American politics. Speaking at a Twitter Spaces event, Armstrong admonished cryptocurrency advocates to “contact your congressman, donate to pro-crypto candidates, show up at town halls.”
The comments followed the move by the US Securities and Exchange Commission (SEC) to send the trading platform a Notice of Wells implying there may be a regulatory crackdown underway. According to Armstrong, the exchange will begin sponsoring pro-crypto candidates in US elections.
“What we are going to do is start posting content where people can contact their congressman, donate to pro-crypto candidates, show up at town halls, make their voices heard,” the Coinbase CEO said, adding that “we are going to elect pro-crypto candidates in this country to make sure our success is assured.”
It is unclear if the US SEC will take any legal action against the exchange, however the regulator’s move represents a similar step to the one taken against industry player Paxos Trust. For Coinbase, the SEC must be put in its place as it pursues regulatory actions based on guidelines it has not generally provided.
Coinbase has been very eloquent in calling out the SEC for its regulatory style and approach. The exchange, while publicly traded and regulated by the SEC, has had to keep an eye on some of its products, including Coinbase Earn, its staking services, and some of its token listing services.
In an attempt to stay out of the regulator’s crosshairs, it had to delist XRP in 2021 after the SEC filed the industry’s largest lawsuit to date against blockchain payments firm Ripple Labs Inc.
Coinbase to fight for crypto through politics
Coinbase’s new approach to dabbling in politics represents one of the exchange’s last resorts following a falling out with some of its employees and industry leaders when, in 2020, Armstrong banned mixing politics with business. At that time, some employees left the company according to a Coinspeaker report.
With the new stance, Armstrong emphasizes how he believes the future of cryptocurrency can best move forward when more pro-crypto legislators are in the driving seat. The SEC’s actions have received consistent backlash with industry leaders lamenting all futile attempts to come to the negotiating table with the regulator.
“A reprehensible amount of resources and brainpower have been spent in the US trying to engage with this SEC and trying to create substance and a path out of the spectral comments issued by the agency,” the CEO of the agency told Cointelegraph. Crypto Council for Innovation, Sheila Warren. “Are we really going to allow an agency in the US to set the entire trajectory of an innovation for the entire country, especially if that agency refuses to engage with the industry it is trying to regulate?”
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Benjamin Godfrey is a blockchain enthusiast and journalist who enjoys writing about the real-life applications of blockchain technology and innovations to drive mainstream acceptance and global integration of emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain-based sites and media. Benjamin Godfrey is a lover of sports and agriculture.
