Coinbase CEO Brian Armstrong hails the House’s passage of FIT21, a critical step toward unambiguous crypto regulation.
The Financial Innovation and Technology for the 21st Century Act (FIT21) was enacted by the House of Representatives, a key step toward cryptocurrency regulation.
Brian Armstrong, CEO of Coinbase, lauded this triumph and emphasized the need for sensible and transparent crypto regulations.
With 71 Democrats voting in favour, surpassing expectations, the legislation now heads to the Senate.
Brian Armstrong Celebrates Historic FIT21 House Vote
Armstrong describes the ratification of FIT21 by the House as a “historic vote.”
He believes this decision will establish precise cryptocurrency regulations if it becomes law.
Armstrong emphasized that citizens desire their representatives to safeguard their rights to utilize cryptocurrencies.
Furthermore, he continued that they seek unambiguous regulations to protect consumers so that a few activists cannot exploit the ambiguity to unlawfully target the industry.
Brian Armstrong also emphasized the significance of Stand With Crypto, a Coinbase-founded crypto advocacy organization.
The mission of this organization is to advocate for sensible regulation in the cryptocurrency space.
Armstrong asserts that the House vote signifies a repudiation of endeavours to undermine crypto technology.
He conveyed a sense of assurance that the electorate would recall this result.
FIT21’s House of Representatives approval is merely the initial phase.
Presently, the legislation is en route to the Senate for deliberation.
On the other hand, the Biden administration opposes the bill because it does not provide sufficient safeguards for investors and consumers of digital assets.
This opposition may present a difficulty during the Senate’s deliberations on the legislation.
Despite this, the White House has declared that it will not extend a veto threat if FIT21 succeeds in the House.
This stance provides flexibility for possible compromise and negotiation as the legislation advances.
The Senate’s verdict will determine the trajectory of cryptocurrency regulation in the United States moving forward.
Coinbase Urges Transparent Crypto Regulations
In June 2023, the Securities and Exchange Commission (SEC) sued Coinbase for allegedly violating securities law.
As securities, thirteen cryptocurrencies were named in the lawsuit, including Solana and Cardano.
In March of the same year, the SEC issued a Wells notice against Coinbase, which prompted this legal action.
Coinbase has consistently advocated for more explicit regulations regarding digital assets.
The company petitioned an appeals court in March 2024 to order the SEC to establish a comprehensive regulatory framework for cryptocurrencies.
Coinbase argued that the SEC violated the Administrative Procedures Act by avoiding rulemaking.
The endorsement of FIT21 by the House is consistent with Coinbase’s enduring demand for regulatory clarity.
Not all lawmakers support the bill despite its passage.
US House Ranking Member Maxine Waters criticized the bill, stating that it is ill-suited for its intended purpose and could generate substantial loopholes.
Other Democrats disagreed with the crypto bill, mirroring concerns regarding possible gaps in protecting investors.
