Cara Kelchert, Vice President of U.S. Policy at Coinbase, revealed that the company withdrew its support for the cryptocurrency legislation under consideration in the U.S. Senate due to serious flaws identified in the bill. This decision was made just hours before a key Senate session scheduled to debate the bill’s approval. Coinbase, a leading global cryptocurrency exchange platform, enables users worldwide to buy, sell, and store digital assets. While the bill aimed to regulate the cryptocurrency market and protect consumer rights, certain provisions were found incompatible with the fundamental nature and operational models of cryptocurrencies, potentially imposing unnecessary restrictions on the market. Kelchert emphasized that Coinbase’s withdrawal was intended to prompt the development of a more effective regulatory framework that balances industry needs with consumer protection. As the global cryptocurrency market continues to evolve, regulatory frameworks remain complex and sensitive, with various countries crafting laws to prevent fraud and illegal activities while encouraging innovation and investment. The stance of major players like Coinbase is considered crucial in shaping market regulations. Attention now turns to how the Senate will amend the bill and whether future legislation can create a supportive and secure environment for the cryptocurrency industry. Experts suggest that although legislative delays may temporarily impact growth, implementing comprehensive and improved laws will benefit the sector in the long term.
Source: coindesk
