Coinbase Global COIN CEO Brian Armstrong on Monday outlined an actionable framework for achieving regulatory clarity in the cryptocurrency space.
What Happened: In a blog post, Armstrong argued that regulation should start with centralized actors (stablecoin issuers, exchanges, and custodians), which are the biggest sources of consumer risk.
“This is where we've seen the most risk of consumer harm, and pretty much everyone can agree it should be done. It’s the low-hanging fruit,” he said.
Armstrong said regulating stablecoin issuers is a “good place to start.” He noted that this process need not be overly complicated — stablecoins can be effectively regulated under existing financial services law, such as state or national trust charters.
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According to Armstrong, countries that have enacted laws to govern cryptocurrency-related business activities should enforce them domestically and ensure that companies abroad serving their citizens comply.
Citing FTX as an example, Armstrong said that even though the company is based in the Bahamas, it still recognizes the laws of countries where its customers are based, including the U.S.
“I call out that the decentralized aspects of crypto present an opportunity to create even stronger consumer protections by increasing transparency and removing the middleman via self-custodial wallets, public and open smart contracts, and on-chain accounting,” he added.
DOGE Pips COIN: Dogecoin DOGE/USD has passed the market capitalization of Coinbase as its current price of $0.07 gives it a market cap of $9.65 billion, greater than Coinbase's $7.98 billion.
Price Action: At the time of writing, DOGE was down 7.31%, according to Benzinga Pro.
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