Coinbase has pulled its support from the US Senate’s crypto market structure bill ahead of a key Banking Committee debate.
Chief executive Brian Armstrong said the draft legislation contained “too many issues” for the company to continue backing it.
This version would be materially worse than the current status quo and we’d rather have no bill than a bad bill.
Brian Armstrong said.
Armstrong cited concerns including a de facto ban on tokenised equities, decentralised finance rules and proposed amendments.
The Senate Banking Committee is still scheduled to debate and vote on the bill on Thursday.
Lawmakers have proposed more than 75 amendments, leaving the final shape of the legislation uncertain.
Armstrong said Coinbase would continue engaging with lawmakers and remained optimistic about reaching a better outcome.
The Digital Chamber said it continues to support the Senate process while pushing for targeted improvements.
We will continue engaging at every step of the process to help shape a final bill.
The Digital Chamber said.
Ripple chief executive Brad Garlinghouse praised the bill, calling it a “massive step forward” for regulatory clarity.
Senators are still negotiating key provisions, including stablecoin rewards, regulatory oversight and ethics safeguards.
Senate Banking Committee chair Tim Scott said discussions remain intense but progress is still possible.