#conflict #crypto ⚡️ White House in February: Crypto bill in jeopardy due to conflict with Coinbase
The situation around the main US crypto bill is escalating. The Trump administration is considering the possibility of completely withdrawing the supporting documents if the Coinbase exchange does not return to the negotiating table.
🔍 What happened?
Earlier this week, Coinbase and its CEO Brian Armstrong unexpectedly withdrew their support for the bill. The reason is the interference of banks, which limit the profitability (profitability) of stablecoins and provide preferences for the traditional financial sector.
Armstrong's main complaints about the current version of the document:
- Tokenized actions are effectively banned.
- Strict restrictions on DeFi and a threat to financial privacy.
- Weakening the role of the CFTC in favor of the SEC.
- Elimination of stablecoin rewards (an advantage for banks).
😡 White House Reaction
According to journalist Eleanor Terrett, the Trump Administration called Coinbase’s actions a “rug pull” (a sharp exit from the game) for the entire industry. The White House’s position is tough:
“This is President Trump’s bill, not Brian Armstrong’s.”
Coinbase is being asked to find a compromise with banks, otherwise no other law will be passed at all.
📉 Criticism within the industry
Not everyone supported Coinbase’s demarche. For example, Citron Research accused Armstrong of hypocrisy, stating that the exchange would simply fight competition from a company using tokenized securities.
Bottom line: The Senate Banking Committee meeting scheduled for January 15 has already been postponed indefinitely. The crypto market has frozen in anticipation of whether all the giants will agree.