🚨 Senate Crypto Bill Hits a Wall: Coinbase Withdraws Support!
The U.S. Senate Banking Committee has reportedly hit a major roadblock in today's scheduled voting on the much-anticipated Crypto Market Structure Bill.
This sudden shift comes after Coinbase CEO Brian Armstrong publicly withdrew the exchange's support for the current draft, citing several "deal-breaker" clauses that could harm the industry.
Why did Coinbase pull back?
According to recent statements, the updated bill introduced several "poison pill" provisions that were not in the original discussions:
Ban on Tokenized Equities: The new draft seeks to prohibit the trading of tokenized versions of traditional stocks.
Targeting Stablecoin Rewards: New restrictions would effectively end yield/rewards programs for stablecoins (a major revenue stream for Coinbase/USDC).
Privacy Concerns: The bill includes expanded surveillance powers, giving the government broad access to DeFi users' financial data without traditional warrants.
What this means for the Market:
The withdrawal of support from the largest U.S. exchange makes it very difficult for the Committee to proceed with the vote today. While industry leaders want regulatory clarity, the consensus is: "A bad bill is worse than no bill at all."
Expect some volatility in U.S.-linked crypto projects as the market digests whether this delay is a long-term win for decentralization or a setback for mainstream adoption.
Stay tuned for more updates! 📉📈
