Brian Armstrong, CEO of Coinbase, expressed concern over rumors that the US Securities and Exchange Commission (SEC) may eliminate cryptocurrency betting for retail customers in the US. Armstrong insisted that “staking is not a security” and that the trend allows users to “participate directly in running open crypto networks.”
Coinbase CEO expresses concern over US stifling crypto efforts and innovation
Coinbase CEO Brian Armstrong so he has heard rumors that the US Securities and Exchange Commission (SEC) is planning to eliminate cryptocurrency betting for retail customers in the US. . “I hope that is not the case,” Armstrong wrote, “as I think it would be a terrible road for the United States if it were allowed to happen.”
Sharing a “primer” on the subject written by Paradigm, Armstrong stressed that striking is not a certainty. “Staking is a very important innovation in crypto,” the Coinbase CEO so. “It allows users to directly participate in running open crypto networks. Staking brings many positive improvements to the space, including scalability, increased security, and reduced carbon footprints.”
Armstrong argued that new technology must be promoted, not stifled, in the United States and that it is important for the country to have clear rules for financial services and Web3 industries for national security reasons. “Enforcement Regulation Doesn’t Work,” Armstrong so. “It encourages companies to operate offshore, which happened with FTX.” Not everyone agreed with Armstrong, as some were quick to criticize strike action and decentralized finance (defi). “It’s almost like defi and staking is not decentralized,” one person joked in Armstrong’s Twitter thread.
Others fun at SEC Chairman Gary Gensler with a photo that included a quote that said, “Guess it’s time for more protection.” Another individual tweeted, “Realistically, the Howey test is so broad that pretty much anything is a security. The real test is whether the SEC wants/feels like it can regulate the thing.” Armstrong hope that the industry will work together to establish clear rules and “sensible solutions” that protect consumers while “preserving innovation and national security interests” in the country.
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Jamie Redman
Jamie Redman is the news editor at Bitcoin.com News and a financial technology journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
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