Coinbase CEO: Clear Path to Register Needed for Crypto Market Participants
Coinbase CEO Brian Armstrong emphasized the importance of a “clear path to register” for participants in the crypto market, possibly directed at the US Securities and Exchange Commission (SEC). This follows the approval by the Commodity Futures Trading Commission (CFTC)-linked National Futures Association for Coinbase Financial Markets to offer crypto futures trading to US customers.
Main Key Points:
- The CFTC approval is seen as a significant milestone for the crypto market, providing much-needed clarity.
- There is an expectation that the SEC may open doors for institutional Bitcoin exposure via spot ETFs in the next 12 months.
- Coinbase previously took the SEC to court to address the lack of clarity in rulemaking for the industry.
- The CFTC approval puts the onus on the SEC to alleviate regulatory fear, uncertainty, and doubt.
- Market participants are willing to register if there is a clear path to do so.
Hot Take: The approval of regulated crypto derivatives by the CFTC is a significant step towards regulatory clarity in the US. It places pressure on the SEC to provide guidance and regulations that will foster a more secure and transparent crypto market. The willingness of market participants to register demonstrates the industry’s desire for legitimacy and compliance.