CEFIREGULATION

Coinbase CEO Brian Armstrong visits the UK, offering a range of cryptocurrency-related advice.

share
Coinbase CEO Brian Armstrong visits the UK, offering a range of cryptocurrency-related advice.

Recently, Coinbase, a compliant cryptocurrency exchange that has been advocating for the United States to move towards open cryptocurrency regulation, saw its CEO Brian Armstrong visiting the UK. Armstrong not only posted a photo on Twitter showing himself with Andrew Griffith, the Economic Secretary to the Treasury in the UK, but also praised the UK for its wise and swift progress in advancing cryptocurrency regulation. He also put forward multiple suggestions, hoping that the UK will become a center for Web3 economic innovation.

Brian Armstrong Shares Personal Views on the Current Situation in the UK

According to data from Coinbase's survey, approximately 22% of UK adults own cryptocurrency, with 28% of them potentially purchasing or trading cryptocurrency in the next 12 months. Furthermore, 84% of UK adults believe that the global financial system favors powerful interest groups, and 65% of UK adults agree that the financial system requires significant reform or complete overhaul.

Regarding the current situation in the UK, Armstrong also shared some personal viewpoints:

  • Some UK banks are blocking fiat payments to cryptocurrency companies, which is not right. While robust fraud controls are reasonable, a blanket ban is not, and further education and cooperation are needed.
  • There have been suggestions for a 24-hour "cooling-off period" for crypto transactions, which would harm real-world use cases, capital formation, and consumers.

Brian Armstrong Proposes Nine Recommendations for the UK to Become a Web3 Economic Innovation Hub

Although Coinbase is a publicly traded company in the US, in order to successfully fulfill its mission of enhancing economic freedom, Coinbase must actively expand globally, with the UK and Europe being important partners for Coinbase.

Coinbase has put forward nine recommendations to make the UK a Web3 economic innovation hub:

  • Ensure collaboration between banks and fintech companies to accelerate crypto innovation
  • Place Web3 and blockchain at the core of government
  • Rapidly establish a regulatory framework based on "same risks, same regulatory outcomes"
  • Ensure regulations balance investor protection, financial inclusion, and investment in the industry
  • Provide a regulatory framework to promote stablecoin development
  • Elevate digital assets to a central position and offer opportunities for innovation beyond existing market rules
  • Make significant amendments to the UK legal framework to reflect technological advancements and provide certainty for digital property and crypto mortgage systems
  • Clarify the UK's tax treatment of crypto assets to place them on an equal footing with traditional financial activities
  • Develop plans to achieve decentralized ID DiD

US Tightens Regulations, Web3 Operators Seek New Opportunities

The US continues to enforce regulations on Web3 operators, with Coinbase being investigated by the SEC in March, alleging that its Coinbase Staking and Wallet Services may involve securities. At that time, Coinbase had already announced plans to visit the UK, urging the US to move towards open crypto regulation and promoting the Crypto435 movement led by Coinbase.

Not only have enforcement actions led US operators to actively seek opportunities in Europe, but following the US banking crisis, USDC issuer Circle recently announced the establishment of its European headquarters.

USDC issuer Circle launches Euro stablecoin EUROC, Circle CEO announces establishment of European headquarters in Paris