Coinbase CEO Brian Armstrong stated that the United States Securities and Exchange Commission’s (SEC) approach to regulating crypto assets is harming the American people. In his statement on the social media platform, he stated that the SEC’s current regulations have negative effects on the crypto industry.
SEC’s Regulatory Approach
Coinbase CEO focuses on legal pressure that has been going on for years. Brian says new cases have accelerated in the last two years, affecting everyone from global investors to U.S. citizens.
Brian Armstrong: “The new SEC chairman should drop all frivolous lawsuits and apologize to the American people.”
Armstrong emphasized that the institution led by SEC Chairman Gary Gensler has made contradictory statements regarding crypto assets. Bitcoin 
$71,218He stated that the SEC has inconsistent statements on whether (BTC) is a security, how exchanges can comply with existing laws, and whether existing laws are clear.
Armstrong stated that regulatory uncertainty hinders the crypto industry and makes it difficult to adapt, which is harmful to America and its citizens. There is also criticism that the SEC only regulates through enforcement and violates the Administrative Action Act (APA).
SEC Litigation Against Coinbase
The SEC sued Coinbase for allegedly selling unregistered securities. Armstrong announced plans for Coinbase to become the primary financial account for its customers.
Brian Armstrong: “We don’t aim to be a bank, but we aim to be people’s primary financial account, their safe deposit box.”
He stated that by offering products such as USD Coin, they plan to become users’ primary financial account with features such as bank transfers in the future.
Conclusion
Armstrong’s criticisms of the SEC indicate continued regulatory uncertainty in the crypto industry. The pressure and uncertainty created by the SEC’s stance on the industry continues to complicate the activities of both companies and users. Coinbase’s expansion plans into financial services could play a significant role in how the regulatory environment shapes up.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
