Coinbase CEO Brian Armstrong Says US Won't Become 'Crypto Capital Of The World' If One ...

Coinbase CEO Brian Armstrong and industry leaders are strongly opposing a new Senate Democratic proposal that would require DeFi platform operators to register as brokers with federal regulators.

The draft legislation would classify anyone providing front-end access to decentralized finance platforms as brokers requiring SEC or CFTC registration. Industry experts warn this could effectively ban DeFi operations in America, forcing the $1 trillion industry overseas where major banks like Goldman Sachs and Citigroup are quietly building their own blockchain settlement systems. The Blockchain Association calls it an unworkable proposal that would drive responsible development abroad.

• Senate Democrats propose classifying DeFi front-end operators as regulated brokers under federal oversight
• Industry warns the rules could force the $1 trillion DeFi sector to relocate outside the United States
• Major banks are simultaneously developing their own blockchain-based settlement infrastructure
• Analysts predict potential $1 trillion capital flight if restrictive regulations are implemented