Coinbase Chief Policy Officer Faryar Shirzad called on the American congress to continue clear crypto regulations, warning that continuous inactivity risks to push innovation abroad and leave American consumers unprotected.
In a policy letter entitled why the congress should act: clarity for crypto and consumer protection, the stock market sketched the urgent need for legislative clarity in the digital assets space, and emphasizes that blockchain technology reforms the world economy.
Coinbase urged legislators to create a framework that promotes both innovation and guarantee consumers.
According to Shirzad:
“The absence of clear legislation in the United States suffers potentially, lets consumers exposed and stimulates innovation abroad.”
Important legislative priorities
Coinbase’s letter emphasized the most important legislative priorities, including the definition of digital assets, granting the Commodity Futures Trading Commission (CFTC) Supervision of Crypto Spotmarkts and the preparation of clear rules for Stablecoins and capital increase.
The company also insisted on a regulatory framework that distinguishes between effects and raw materials, a point of discussion between players in the industry and the Securities and Exchange Commission (SEC).
Under the policy recommendations, Coinbase emphasized the need to protect Defi and Digital Trade against Regulatory overall, while centralized platforms are guaranteed that customer funds are being maintained on high transparency and security standards.
The company argued that blockchain networks should enable users to control their digital assets without unnecessary limitations. The letter warned:
“The risks of inactivity are clear. Without the clarity of the regulations, the US will continue to lose its lead in blockchain innovation. “
The appeal of Coinbase comes to debate as legislators about various crypto-related proposals, whereby industrial proponents encourage the congress to offer clear, enforceable guidelines.
Shifting tides
The Biden administration and federal supervisors, including former SEC chairman Gary Genler, maintained a strict attitude towards digital assets, with the argument that many tokens must be treated as effects.
However, the landscape has shifted dramatically to the positive under the new Trump government. Industrial leaders see an opportunity for more balanced regulatory discussions, since legislators express a growing willingness to come into contact with crypto companies and to consider legislation that promotes innovation instead of concentrating solely on enforcement actions.
Coinbase emphasized that more than 52 million Americans have crypto, which illustrates the importance of legislative action to maintain American leadership in the global digital economy.
Shirzad wrote:
“Adopting thoughtful legislation will protect consumers and enable them to fully participate in the blockchain economy.”
With the shifting of the regulatory landscape, legislators must make a crucial decision: embrace a framework that encourages responsible growth or allows uncertainty to push one of the fastest growing industries outside the American boundaries.
Coinbase said that well -considered regulations would enable developers, protect consumers and establish the US as a world leader in digital assets, but hesitation could be expensive in an ever -competitive world market.