Coinbase CEO: Anti-Crypto Stance a Political Misstep for 2024

Coinbase CEO Brian Armstrong has articulated his perspective on why adopting an adversarial stance on cryptocurrency may prove to be an ineffective strategy for U.S. politicians eyeing the 2024 elections. In a video shared on December 19, Armstrong highlighted the admission by U.S. Senator Roger Marshall that the Digital Asset Anti-Money Laundering Act, colloquially known as the "crypto ban" bill, was crafted with assistance from the American Bankers Association (ABA).

Armstrong outlined five compelling reasons supporting his assertion that being anti-crypto is an ill-advised political strategy leading up to the 2024 elections. Firstly, he emphasized that approximately 52 million U.S. citizens currently hold cryptocurrencies. Secondly, he pointed out that a substantial 38% of young individuals believe that engaging with crypto can amplify economic opportunities. Moreover, Armstrong underscored the significant surge in crypto prices, rising by 90% year-to-date, coupled with a mere 9% satisfaction rate among Americans regarding the existing financial system.

The fifth reason advanced by Armstrong centers on the burgeoning support for the crypto industry, as demonstrated by the Stand With Crypto Alliance—a 501(c)(4) nonprofit organization dedicated to advocating for the sector among elected officials. Armstrong claimed that this alliance is rapidly approaching the impressive milestone of one million supporters.

Although Armstrong did not cite specific sources for the data he presented, it appears that much of the information is drawn from a Coinbase report released in October 2023. This report, based on surveys conducted primarily by the polling firm Morning Consult during the summer and fall of 2023, provides the foundation for the statistical insights shared by Armstrong.

The Digital Asset Anti-Money Laundering Act, initially introduced in December 2022, seeks to subject various crypto technologies, including noncustodial wallets, validators, and mining pools, to stringent banking regulations in the United States.

As of December 2023, the bill has gained support from an additional five senators, three of whom are members of the Banking Committee. Notably, the Bank Policy Institute, a U.S. banking advocacy group, has also endorsed the anti-crypto legislation proposed by Senator Elizabeth Warren.