Coinbase CEO Brian Armstrong Withdraws Support for Senate Crypto Bill, Causing Major Legislative Setback
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 11h ago
0mins
Source: Benzinga
- Legislative Withdrawal Impact: Coinbase CEO Brian Armstrong's withdrawal of support for the Senate crypto market structure bill just before the vote led to an indefinite postponement of the markup, significantly undermining hopes for establishing regulatory clarity for digital assets in the U.S.
- Stablecoin Rewards Controversy: The bill's provision prohibiting crypto platforms from paying yields on idle stablecoin balances emerged from Wall Street banks' lobbying, posing an existential threat to Coinbase's 'Everything Exchange' strategy, with Armstrong labeling it a guise for 'consumer protection'.
- Regulatory Authority Shift: The bill's transfer of oversight from the Commodity Futures Trading Commission to the Securities and Exchange Commission raises concerns about increased regulatory pressure on the crypto industry, particularly given the SEC's historically aggressive enforcement approach, leaving the industry anxious about its future.
- Industry Split Reaction: Despite Armstrong's withdrawal causing fractures within the industry, other major players like Ripple and Kraken continue to support the bill, indicating differing perspectives on legislation that could affect future collaboration and negotiations.
Analyst Views on COIN
Wall Street analysts forecast COIN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for COIN is 400.63 USD with a low forecast of 266.00 USD and a high forecast of 510.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
22 Analyst Rating
15 Buy
6 Hold
1 Sell
Moderate Buy
Current: 255.860
Low
266.00
Averages
400.63
High
510.00
Current: 255.860
Low
266.00
Averages
400.63
High
510.00
About COIN
Coinbase Global, Inc. is a holding company of Coinbase, Inc. and other subsidiaries. The Company provides a platform that serves as a compliant on-ramp to the onchain economy and enables users to engage in a variety of activities with their crypto assets in both proprietary and third-party product experiences enabled by access to decentralized applications. It offers consumers their primary financial account for the cryptoeconomy; institutions a full-service prime brokerage platform with access to deep pools of liquidity across the crypto marketplace, and developers a suite of products granting access to build onchain. Its platform helps people and institutions to engage with crypto assets, including trading, staking, safekeeping, spending, and global transfers. It offers products and services to various customer groups: individuals, businesses, institutions, and developers. Its transaction products consist of consumer trading, prime Trading, markets, base protocol and Coinbase wallet.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
