{"id":549655,"date":"2023-02-09T08:08:41","date_gmt":"2023-02-09T05:08:41","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/getting-rid-of-crypto-staking-would-be-a-terrible-path-for-the-us-coinbase-ceo\/"},"modified":"2023-02-09T08:08:41","modified_gmt":"2023-02-09T05:08:41","slug":"getting-rid-of-crypto-staking-would-be-a-terrible-path-for-the-us-coinbase-ceo","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/getting-rid-of-crypto-staking-would-be-a-terrible-path-for-the-us-coinbase-ceo\/","title":{"rendered":"# Getting rid of crypto staking would be a &#8216;terrible path&#8217; for the US \u2014 Coinbase CEO"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a228c11e7f7d\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a228c11e7f7d\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/getting-rid-of-crypto-staking-would-be-a-terrible-path-for-the-us-coinbase-ceo\/#%E2%80%9D_Getting_rid_of_crypto_staking_would_be_a_%E2%80%98terrible_path_for_the_US_%E2%80%94_Coinbase_CEO_%E2%80%9C\" >&#8221; Getting rid of crypto staking would be a &#8216;terrible path&#8217; for the US \u2014 Coinbase CEO &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Getting_rid_of_crypto_staking_would_be_a_%E2%80%98terrible_path_for_the_US_%E2%80%94_Coinbase_CEO_%E2%80%9C\"><\/span>&#8221; Getting rid of crypto staking would be a &#8216;terrible path&#8217; for the US \u2014 Coinbase CEO &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-4bbf85c5>The CEO and co-founder of cryptocurrency exchange Coinbase, Brian Armstrong, believes that banning retail crypto staking in the United States would be a \u2018terrible\u2019 move by the country&#8217;s regulators.\u00a0<\/p>\n<p>Armstrong <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/brian_armstrong\/status\/1623459237631528960\">made<\/a> the comments in a Feb. 9 <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> thread which has already been viewed over 2.2 million times, after noting they&#8217;ve heard \u201crumors\u201d that the U.S. Securities and Exchange Commission \u201cwould like to get rid of crypto staking\u201d for retail customers.<\/p>\n<blockquote><p>\u201cI hope that&#8217;s not the case as I believe it would be a terrible path for the U.S. if that was allowed to h<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>en.\u201d<\/p><\/blockquote>\n<p>Armstrong did not share where the rumors originated from but continued to note that staking was \u201ca really important innovation in crypto.\u201d<\/p>\n<p>\u201cStaking brings many positive improvements to the space, including scalability, increased security, and reduced carbon footprints,\u201d he added. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">2\/ Staking is a really important innovation in crypto. It allows users to participate directly in running open crypto networks. Staking brings many positive improvements to the space, including scalability, increased security, and reduced carbon footprints.<\/p>\n<p>\u2014 Brian Armstrong (@brian_armstrong) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/brian_armstrong\/status\/1623459237631528960?ref_src=twsrc%5Etfw\">February 8, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Armstrong also <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.paradigm.xyz\/2022\/10\/ethereums-new-staking-model-does-not-make-eth-a-security\">referenced<\/a> an Oct. 5 blog post from crypto investment firm Paradigm, which argued that Ethereum\u2019s transition to proof-of-stake and its subsequent \u201cstaking\u201d model does not make it a security.<\/p>\n<p>The Paradigm post came just a few weeks after SEC Chairman Gary Gensler suggested that proof-of-stake (PoS) cryptocurrencies could trigger securities laws on Sep. 15, 2022, while speaking to reporters after a Senate Banking Committee meeting.<\/p>\n<p>Armstrong also lambasted the current lack of regulatory clarity in the U.S. and subsequent \u201cregulation by enforcement\u201d that he says is driving companies offshore, such as crypto exchange FTX. <\/p>\n<p>He has reiterated calls for regulation that provides clear rules for the industry while preserving innovation.<\/p>\n<p><strong>Related: <\/strong><strong><em>Crypto exchange Kraken faces probe over possible securities violations: Report<\/em><\/strong><\/p>\n<p>According to Staking Rewards, the top four staked cryptocurrencies by market cap account for over $55 billion in staked assets, suggesting a country-wide ban would be a huge hit to the country\u2019s crypto industry which has already seen an exodus of crypto-related businesses.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/2bc15d5e-24c0-4b06-9b92-94a87dcb4589.png\"><figcaption style=\"text-align: center;\"><em>Top crypto assets by staking market cap. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.stakingrewards.com\/\"><em>Staking Rewards<\/em><\/a><em>.<\/em><\/figcaption><\/figure>\n<p>Some industry commentators have suggested that the SEC might go after centralized parties which offer staking services rather than the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> itself, believing the latter would be a losing battle which would \u201ccrush them in precedent.\u201d<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Timely reminder that <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/splf30ft12\">https:\/\/t.co\/splf30ft12<\/a> outlines the legal arguments of ETH staking under the Howey Test.<\/p>\n<p>I believe the SEC would likely go after centralized parties offering staking, and not PoS itself as that&#8217;d be a harder fight that could crush them in precedent. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/YiD2Cpxx6z\">https:\/\/t.co\/YiD2Cpxx6z<\/a><\/p>\n<p>\u2014 Adam Cochran (adamscochran.eth) (@adamscochran) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/adamscochran\/status\/1623469851099512832?ref_src=twsrc%5Etfw\">February 8, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> counsel for Delphi Digital\u2019s research and development arm, Gabriel Shapiro, suggested there is a strong argument that staking services provided by centralized exchanges like Coinbase constitute a security, drawing parallels between them and other \u201cEarn\u201d products.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Personally although I do think &#8220;Earn&#8221; programs offered by CEXs are debt securities, I think it is *possible* to offer pure PoS as a service, even on a CEX, without the offer being a security, depending on the details of the terms. But tbqh it&#8217;s a close case.<\/p>\n<p>\u2014 _gabrielShapir0 (@lex_node) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/lex_node\/status\/1623465185389297664?ref_src=twsrc%5Etfw\">February 8, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Coinbase is currently subject to an ongoing SEC probe, which Coinbase revealed in an Aug. 9, 2022 SEC <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/d18rn0p25nwr6d.cloudfront.net\/CIK-0001679788\/304d84bd-3534-4bba-a27c-d1c962a79fc6.pdf\">filing<\/a> was in relation to its staking rewards amongst other offerings.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/getting-rid-of-crypto-staking-would-be-a-terrible-path-for-the-us-coinbase-ceo\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Getting rid of crypto staking would be a &#8216;terrible path&#8217; for the US \u2014 Coinbase CEO &#8220; The CEO and co-founder of cryptocurrency exchange Coinbase, Brian Armstrong, believes that banning retail crypto staking in the United States would be a \u2018terrible\u2019 move by the country&#8217;s regulators.\u00a0 Armstrong made the comments in a Feb. 9&#8230;<\/p>\n","protected":false},"author":1,"featured_media":549656,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/b6dc96aa-d132-4007-b92c-d95ef5780f7e.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74957,74956,74891,135234,74876,74898,133582,76308,117,70934,72287,10401,67874],"class_list":["post-549655","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-brian-armstrong","tag-coinbase","tag-ethereum","tag-ftx","tag-proof-of-stake","tag-sec","tag-staking","tag-ban","tag-business","tag-regulation","tag-security","tag-twitter","tag-united-states"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/549655","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=549655"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/549655\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/549656"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=549655"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=549655"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=549655"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}