Brian Armstrong Says Coinbase Could Relocate
In the U.S., it has been hard for the crypto business to grow. The firm has yet to raise as much as possible because of how lawmakers treat it and how unclear the rules are. Companies may soon leave the area as long as the crypto market and the U.S. government keep having problems with each other.
The lack of clear rules in the U.S. bothers Brian Armstrong, the CEO of Coinbase. This has made him even more interested in the company’s idea of leaving the U.S. Armstrong said this at London’s Fintech Week in response to a question from the U.K.’s former Chancellor, George Osbourne.
“Anything is on the table, including relocating or whatever is necessary.”
The U.S. market is robust for Coinbase. The Armstrong-run exchange might have benefited now that the government is watching Binance. But regulators were going after the whole business, not just one company. He went on to say,
“I think the U.S. has the potential to be an important market for crypto, but right now we are not seeing that regulatory clarity that we need. I think in a number of years if we don’t see that regulatory clarity emerges in the U.S. we may have to consider investing more elsewhere in the world.”
The stock of Coinbase has also been doing very well. It was named one of this year’s best-performing large-cap stocks even though the Securities and Exchange Commission (SEC) sent the business a Wells Notice.
The 10 best performing large cap stocks of 2023:
1. Coinbase $COIN +82%
2. NVIDIA $NVDA 79%
3. Facebook $META +77%
4. Spotify $SPOT +63%
5. Rolls Royce $RYCEF +61%
6. Align $ALGN +59%
7. Seagen $SGEN +58%
8. Tesla $TSLA +55%
9. PetroChina $PCCYF +51%
10. MercadoLibre $MELI +50%
— TradingView (@tradingview) April 17, 2023
Does Coinbase include the UK?
Coinbase might want to expand to the U.K. Armstrong stressed one prominent reason for Coinbase’s potential relocation to the country. In the U.S., many government agencies are trying to keep an eye on the crypto business. For example, the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) have watched commodities and stocks differently. However, the Financial Conduct Authority (FCA) oversees both in the U.K. Armstrong also discussed the “turf battle” between the CFTC and the SEC.
“We actually have contradictory statements from the heads of the CFTC and the SEC coming out almost every few weeks – how’s a business going to operate in that environment? We just want a clear rulebook.”
Armstrong also said not long ago that he would be making suggestions to the U.K. about taxes and rules, among other things.