Crypto Firms Line Up Behind GOP Market Structure Bill, Coinbase Pushes Back

Eleanor Terrett of CryptoInAmerica reports that some of the industry’s most visible players are backing the @BankingGOP’s market structure bill, even as Coinbase voices opposition. Endorsements rolled in Tuesday evening from a16z, Circle, Kraken, the Chamber of Digital Commerce, Ripple, and Coin Center — a coalition that signals growing institutional support for the legislation.

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The bill aims to settle jurisdictional disputes between the SEC and CFTC while creating clearer guardrails for stablecoins, DeFi protocols, and token issuance. Supporters argue that codifying rules will reduce uncertainty and open the door for broader adoption. Trade associations like the Digital Chamber framed the measure as overdue, stressing the need for predictable compliance pathways.

Coinbase CEO Brian Armstrong isn’t convinced. He outlined concerns that the draft text could amount to a de facto ban on tokenized equities, restrict DeFi activity, and erode the CFTC’s authority. Armstrong also flagged amendments that would strip rewards from stablecoins, potentially giving banks the power to sideline competitors. His stance sets Coinbase apart from peers who see the bill as a workable compromise.

The split highlights a rare public divide among leading firms. While Ripple and Circle emphasize the benefits of clarity, Coinbase warns of unintended consequences. For policymakers, the contrasting positions underscore the challenge of balancing investor protections with innovation. With hearings scheduled later this month, the endorsements from a16z and others may carry weight, but Armstrong’s objections ensure debate will remain sharp.

For now, Terrett’s reporting captures a pivotal moment: the crypto industry is not marching in lockstep. The GOP bill has heavyweight backers, but Coinbase’s resistance guarantees the fight over market structure is far from settled.