Coinbase Signals It Does Not Support Senate Crypto Bill, or Impact Legislative Process

**January 15th: Coinbase Opposes Current Crypto Bill Ahead of Senate Banking Committee Vote** Coinbase CEO Brian Armstrong said on X (formerly Twitter) Wednesday the exchange will not support the current version of comprehensive cryptocurrency legislation set for markup and a vote by the Senate Banking Committee this Thursday. While praising senators’ bipartisan effort, Armstrong argued the draft is “worse than the current regulatory regime,” adding Coinbase prefers “no bill over a bad bill.” The legislation aims to clarify oversight boundaries between the U.S. Commodity Futures Trading Commission (CFTC) and Securities and Exchange Commission (SEC) for digital assets, define when tokens qualify as securities or commodities, and establish new disclosure requirements. The committee will hold a hearing and vote on the bill Thursday morning. Armstrong flagged critical issues: provisions on decentralized finance (DeFi) and stablecoin yields, some of which could grant the government “unfettered access to individuals’ financial records” and erode user privacy. He also criticized the bill for weakening the CFTC’s authority by subordinating it to the SEC, claiming this would hinder industry innovation. Sources note Coinbase’s public opposition carries “symbolic significance” and could shape the bill’s fate. Stablecoin yields have become a flashpoint: banking groups warn related mechanisms could siphon deposits and harm community banks, while the crypto industry accuses banks of trying to stifle competition. Still, some industry players back advancing the legislation. Digital Chamber of Commerce CEO Cody Carbone said the group will push for the bill to become law by 2026. Ripple CEO Brad Garlinghouse also expressed optimism differences can be resolved via amendments.