Coinbase CEO Brian Armstrong has said that the SEC will not fully regulate the cryptocurrency industry as not all digital assets meet the definition of securities. According to him:
“Obviously Bitcoin or Ethereum are commodities and should probably be regulated by the CFTC. If the team wants to raise funds for the company through security tokens, these are securities and the prerogative of the SEC. It would be great to clarify this issue.”
According to the company head, stablecoins should be the responsibility of the US Department of the Treasury. There are art-based cryptocurrencies that do not fit into any of the above categories and probably should not be subject to oversight, he has added.
The CEO of Coinbase has stressed that regulation requires a balance between protecting investors and keeping innovation open.