Coinbase CEO, Brian Armstrong, has issued a call to action to the crypto community, asking it to support and vote for crypto-friendly politicians in the next United States elections.
Armstrong’s clarion call
The cryptocurrency industry is facing a lot of regulatory uncertainty in the United States, especially after the recent actions of the Securities and Exchange Commission (SEC) against Coinbase, one of the country’s largest crypto exchanges.
This situation has prompted Armstrong to call for more political action from the crypto community, urging them to support pro-crypto candidates and lawmakers who can help shape a more favorable and innovation-friendly regulatory environment for the industry.
In a Twitter Spaces event on Mar. 23, Armstrong accused the SEC of being hostile and opaque towards crypto innovation and creating an “unhealthy regulatory climate” for the industry.
He also urged crypto proponents to “contact their congressman, donate to pro-crypto candidates, show up at town halls,” and make their voice heard.
“We are going to elect pro-crypto candidates in this country to make sure that our success is ensured,” Armstrong said.
Crypto supporters decry regulatory hostility
Armstrong’s call for action reflects a growing sentiment among crypto supporters that the SEC and other financial regulators in the United States do not support crypto innovation and adoption. Many crypto enthusiasts believe the United States must catch up to other countries with more favorable and transparent regulatory frameworks, such as Singapore, Switzerland, and El Salvador.
They also argue that crypto is not a threat to traditional finance but rather an opportunity to create more inclusive, efficient, and transparent financial systems. Still, it needs clear and consistent rules from the regulators to thrive.
On Mar. 22, 2023, Coinbase announced that it had received a Wells notice from the SEC, a formal declaration that the agency intends to bring an enforcement action against the company. The notice concerns several Coinbase products, including its spot market, staking service, and wallet.
The crypto exchange said it was surprised and disappointed by the SEC’s move. It claims it has engaged with the regulator over several months and provided exhaustive information about its products and services. Coinbase also said it received no clear explanation or guidance from the SEC on what rules or laws it allegedly broke.
The exchange’s move to engage in political action shows how serious the situation is for the crypto industry in the United States. It also shows how much influence and power the crypto community has, as it represents millions of voters, entrepreneurs, and consumers who care about the future of crypto.