Coinbase is intensifying its efforts to bring clear transparency to the regulation of cryptocurrencies in the United States by proposing a new framework for the SEC. This trading platform wants clear rules to clearly distinguish between digital assets and traditional securities, and calls on Congress to take the lead in defining legal boundaries.

Call for Clearer Rules

The new wave of cryptocurrencies in the United States is becoming clear with actions such as the White House Cryptocurrency Summit and strong bipartisan support from the House and Senate to eliminate DeFi broker regulations. The SEC, through Commissioner Hester Peirce, has requested feedback from the industry on cryptocurrency regulations, and Coinbase has responded with a detailed roadmap.

Distinguishing Cryptocurrencies and Traditional Securities

Coinbase continues to challenge the SEC's view that the secondary market sale of digital commodities should be considered securities transactions. The company argues that once an asset is in circulation, its transactions should not fall under securities law. Coinbase believes that Congress needs to clearly define how to manage digital assets instead of leaving it to the SEC to decide exclusively.

A Future with Tokenized Securities

In addition to classification, Coinbase wants regulations to support the development of tokenized securities, with policies appropriate for blockchain technology. Shirzad believes that resolving these key points will not only clarify regulations, but also drive the adoption of blockchain-based finance, positioning the United States as a leading country in this field. Ripple's major legal victory over the SEC has provided clarity, showing that cryptocurrency Tokens are not investment contracts, and now is the time for Congress to shape the right rules for the cryptocurrency industry.