Coinbase Urges Congress for Clear Crypto Regulations
Coinbase is urging Congress to pass legislation that brings clarity to the cryptocurrency industry. The company believes that without clear rules, consumers are at risk, and innovation may move overseas.
In a statement, Coinbase’s Chief Policy Officer, Faryar Shirzad, stressed the need for a framework that supports responsible innovation and protects investors. He highlighted that blockchain technology offers economic opportunities and financial inclusion. However, without clear guidelines, developers face uncertainty, and consumers lack protection.
Shirzad warned that the U.S. could lose its leadership in blockchain technology if companies seek friendlier regulatory environments abroad. He outlined key priorities for legislation, including clear definitions for different types of tokens.
- Grant the Commodity Futures Trading Commission oversight of the crypto spot market.
- Establish guidelines for blockchain projects to raise capital without categorizing every token as a security.
- Regulate stablecoins to ensure transparency and full backing.
Shirzad emphasized that effective legislation should be simple and accessible, integrating with existing financial regulations. He argued that lawmakers should encourage innovation by providing clear pathways for developers to build decentralized systems without unnecessary restrictions.
centralized exchanges and custodians must maintain high transparency and security standards to protect consumers. Shirzad warned that excessive restrictions could drive blockchain development offshore, weakening the U.S. economy and limiting consumer access to crypto markets.
Shirzad called for a framework that safeguards investors while allowing DeFi and othre innovations to thrive. He warned that without swift action, the U.S. will continue falling behind in the global blockchain race.
Passing comprehensive cryptocurrency legislation, Shirzad argued, will protect consumers, encourage responsible innovation, and position the U.S. as a leader in the digital economy.
