Coinbase is lobbying for clear regulatory guidelines to enable banks to provide cryptocurrency custody and trading services in the US.
Objective of Coinbase's Initiative
Coinbase states that their initiative is aimed at simplifying partnerships between banks and cryptocurrency companies, like the exchange itself. This move aims to enable banks to participate more easily in the crypto sector.
Core of the Request to Regulators
According to Bloomberg, Coinbase has sent a letter to the Office of the Comptroller of the Currency, the Federal Reserve Board of Governors, and the Federal Deposit Insurance Corporation. The letter asks to revoke an interpretive letter that Coinbase argues is preventing banks from starting to engage in the digital asset market.
Analysis of Coinbase’s Legal Argument
Coinbase has also retained three law firms that submitted a separate letter, arguing that current federal laws already allow banks to offer cryptocurrency services and collaborate with third-party providers like Coinbase. Coinbase urges the regulators to confirm this stance.
Coinbase is actively promoting policy changes to reduce barriers and develop partnerships between banks and the cryptocurrency industry.
