Brian Armstrong Will Address The National Security and Tax Issues Relating to Crypto

Brian Armstrong, the CEO of the biggest crypto exchange in the US by trading volume, is having discussions with politicians regarding cryptocurrency. As per a recent Bloomberg report, he’s meeting with House Democrats to talk about the connection between crypto and national security, climate, and tax.

Armstrong is set to meet the New Democratic Coalition, a Democrat policy thinktank, on Wednesday to discuss these issues in private.

This comes as Coinbase is dealing with a lawsuit from the US Securities and Exchanges Commission (SEC) that accuses them of operating as a securities broker without proper licensing.

The industry is currently facing confusion over which regulator, the SEC or the CFTC, should oversee crypto, as per the report. According to Armstrong, the US Congress is introducing new legislation to resolve this issue.

A federal judge in New York stated yesterday that the SEC could have informed Coinbase beforehand that it might be violating securities laws before approving its application to go public.

However, SEC counsel Peter Mancuso clarified that the commission’s approval of Coinbase’s S-1 application for an IPO does not imply that it endorsed the crypto exchange’s entire business.

He went on to clarify that the SEC’s approval for a company to go public does not necessarily mean that the business or its structure is compliant with the law, nor does it signify their endorsement.

There is no indication that the SEC conducted a thorough examination of Coinbase’s assets and made definitive conclusions that it was not a security, providing Coinbase with reassurance.

In other recent crypto news, Raoul Pal, the CEO of Real Vision, has predicted that the approval of a spot Bitcoin (BTC) exchange-traded fund (ETF) would result in a surge of capital flowing into the crypto asset markets.

During an interview with Lark Davis, Pal expressed that a BTC ETF approval, combined with an already growing crypto market, would lead investors to invest heavily in Bitcoin, eager to take advantage of the potential profits from a possible surge towards an all-time high.