Brian Armstrong Calls on Next SEC Chair to Apologize for ‘Damage’ to Crypto Industry
Brian Armstrong, CEO of Coinbase, is speaking out against the Securities and Exchange Commission (SEC), calling on its next chair to apologize to the American people for the ‘damage’ caused to the crypto industry.
On October 29, Armstrong released a compilation of notable inconsistencies in the SEC’s statements regarding cryptocurrencies, highlighting the agency’s ambiguity on key points such as the classification of digital assets and the regulation of exchange platforms. For Armstrong, dropping ‘frivolous’ lawsuits brought by the SEC would be a first step towards restoring public trust in American institutions.
Clear Political Stances in Favor of Pro-Crypto Candidates
As the US elections approach, Armstrong has actively supported pro-crypto senatorial candidates. David McCormick, former CEO of Bridgewater Associates, and John Deaton, a pro-XRP lawyer, have received his public endorsement. Armstrong recommended McCormick to Pennsylvania voters, stating that he represents ‘the best choice for crypto’ in the state. Deaton, on the other hand, was described by Armstrong as an anti-SEC champion, opposing Senator Elizabeth Warren, a long-time cryptocurrency critic and ally of Gary Gensler, the current SEC chair. According to Armstrong, Warren is directly responsible for the SEC’s hostile stance towards crypto, as she has ‘encouraged Gensler to annihilate the American crypto industry.’
Potential Change of Direction with the US Presidential Elections?
For now, Armstrong has not taken a stance on a presidential candidate, but the potential re-election of Donald Trump could signal a shift for the SEC. Trump has already expressed his intention to remove Gensler from power upon his return and promised to appoint a pro-crypto SEC chair who is committed to ‘building the future, not hindering it.’ Dan Gallagher, current chief legal officer of Robinhood and former SEC commissioner, is considered a potential choice to lead the agency under a Trump administration.
Gallagher, as well as Hester Peirce, current commissioner, and Robert Stebbins, former SEC counsel, are mentioned by experts as figures who, if appointed, could change the SEC’s current approach and open up new possibilities for digital assets.
The Impact of US Politics on the Crypto Industry
Brian Armstrong’s involvement in the American political debate highlights the crucial importance of the upcoming elections for the crypto industry. The sector, heavily stifled by regulation perceived as outdated and punitive, could see a more favorable policy for its development. The influence of the United States on cryptocurrencies remains immense; the appointment of an SEC chair open to innovation could not only attract international companies but also reverse the current trend of American companies moving to more welcoming jurisdictions.
