Coinbase CEO Brian Armstrong warned Tuesday that the Bank of England's proposed stablecoin caps risk costing the UK its status as a global financial hub, as the exchange simultaneously battles regulators and lawmakers in Washington over rules that could make or break its growing revenue stream.
When asked whether Coinbase’s policy positions are driven more by economic incentives or systemic risk concerns, Clearpool COO Steven Wu told Decrypt the issue is “broader than one company’s revenue,” noting the real question is “whether regulation focuses on managing risk properly, rather than limiting scale.”
If the Bloomberg projection materializes, it signals that stablecoins will become “core financial infrastructure, not a niche crypto product,” and in that scenario, hard caps on holdings could “limit the UK’s ability to capture meaningful liquidity and institutional participation.”
